M & A
ADO Properties S.A.: Candidates for Senior Management Positions wanted (soon!)
ADO Properties S.A. informed about the extension of the appointment of the CFO Florian Goldgruber and the COO Eyal Horn on an interim basis until September 30th, 2019, while the company is undertaking a search for a new CFO and COO.
The CEO of ADO Properties, Rabin Savion, is expected to leave the company with the scheduled expiration of his contract on July 22nd, 2019. According to the announcement, the company is also in the process of searching for a new CEO.
Tele Columbus AG: Too many Candidates
While ADO Properties needs to cover its vacancies on the senior management level soon, Tele Columbus might have too many candidates for the upcoming elections to the Supervisory Board. Following the invitation to this year´s AGM on May 15th, 2019, the company received a counter motion to item 7 of the agenda (Elections to the Supervisory Board) by United Internet, submitting its own proposal for the election on May 31st.
United Internet, which is Tele Columbus single largest shareholder with a holding of close to 30% of the shares in issue, expresses its concerns at the current status of Tele Columbus, highlighting share price and earnings declines and fluctuations in the management team. The key message to Tele Columbus was summarized as follows: “We are convinced that the candidates we propose have the expertise and experience required in technology and business management to perform the Supervisory Board´s duties optimally and assist the Management Board as far as possible in meeting the challenges ahead.”
While the initial reply by Tele Columbus has been a clear rejection of the proposal via a press release made on the same day, the company later postponed the AGM from June 21st to August 29th, 2019. The new AGM agenda shall be published in due course.
CTS EVENTIM & Co. KGaA: Caught in a Traffic Jam
The European Court of Justice decided that the planned German infrastructure charge – in combination with the relief from motor vehicle tax in Germany – constitutes an indirect discrimination on grounds of nationality and is in breach of the principles of the free movement of goods and of the freedom to provide services. On December 30th, 2018, a syndicate of CTS EVENTIM and Kapsch TrafficCom was commissioned with the collection of the infrastructure charge by the German Federal Ministry of Transport and Digital Infrastructure. In this context, CTS EVENTIM informed that it is now reviewing the reasons for the termination and its implications. According to the press release, the contracts concluded with the German Federal Government contains protective provisions intended to prevent pecuniary damages for the operating company and its shareholders which also may be applicable in case the infrastructure charge will not be implemented.