The actions of the Mexico group collapsed on Monday, pointing to one of its worst days since you have a record, after the mining giant launched an offer for the acquisition of Banamex Financial Group.
The titles of Grupo México, with business also in the rail and infrastructure industries, sank just over 15% to 135.5 pesos, dragging the main index of the Mexican Stock Exchange (BMV) to a drop of 2.75%.
The company reported Friday afternoon that it made a binding offer to buy up to 100% of Banamex, Citi’s retail banking business in the country, a week after the tycoon Fernando Chico Pardo closed an agreement for a 25% participation in the institution.
“The announcement introduces a renewed uncertainty and risk,” said Investment Bank JP Morgan in an analysis note. “This is a very different business from current activities in Grupo México,” he added.
Read more: Grupo Mexico presents offer to acquire up to 100% Banamex
Investors could not understand Grupo México strategy
The Minera Papers, the world’s largest copper producer, had reached a historical maximum of 161,29 pesos, encouraged by a global strengthening of metal prices on Friday.
“We do not see synergies, and an acquisition of this type will make it difficult for investors to understand the long -term strategy of the company and how capital allocation decisions will be made in the future,” Scotiabank said.
With Reuters information
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