The boards of Gjensidige NOR and Den norske Bank (DnB) have agreed to increase the cash consideration in their merger terms from NOK 23 per share to NOK 43 per share in Gjensidige NOR. The new terms still mean a minimum 80 per cent of the total consideration to Gjensidige NOR shareholders will be in the form of DnB shares.
On the basis of the adjusted terms, the Savings Bank Foundation and Gjensidige NOR Forsikring have undertaken to support the merger at the general meeting and not to sell their shares to others during the next two years, in the event that the merger is voted down. Since these two shareholders control 37.2 per cent of the shares in Gjensidige NOR ASA, the May EGMs are almost certain to support the merger, with the necessary two thirds majority.
The merger partners predict they will realise NOK 1.4 billion in synergieswithin three years.