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Germany launches Hypo takeover

Posted on April 20, 2009 12:00 AM
The German government on Friday launched its offer to buy Hypo Real Estate Holding AG, insisting it intends to buy 100% of the troubled lender despite possible opposition from the bank's biggest shareholders, led by U.S. investor JC Flowers & Co LLC.

Germany's bank rescue fund, known as Soffin, is offering €1.39 per share, valuing Hypo Real Estate at €321 million ($419 million). The bid is pitched at a 10% premium to the minimum statutory price of €1.26 that Soffin was required to offer.

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