Porsche/VW: Kontrolle? Nein danke

Most companies make takeover bids because they want to take over the company they’re bidding for. That’s why they pay a premium for the shares. So what should one make of Porsche’s E36bn bid for Volkswagen? The German luxury carmaker is offering a 14% discount for shares in its mass-market rival. That is the minimum it can pay under German takeover rules, which specify that a bidder has to offer at least the weighted average price over the preceding three months. Legal, yes, but hardly generous...