Mannesman's board has been stonewalling Vodafone. Now Vodafone is appealing directly to shareholders, hoping they will find the deal sweet enough to swallow. Terry Martin reports. Too low, said the German company's management. It was the second time Mannesman's board had rebuffed Vodafone.
Hostile takeovers are simply unknown in Germany.
The thought of a foreign upstart buying out one of Germany's blue chip stalwarts is anathema to German corporate culture. The hostile reaction to Vodafone's unsolicited bid has not been limited to Mannesman's management. A number of politicians in Germany, including Chancellor Gerhardt Schroeder, have criticized the move. Schroeder reportedly told a French newspaper that while he doesn't reject foreign participation in German companies, he does oppose certain methods. He added that hostile takeovers are damaging to industrial culture and harm both buyer and seller.