ZURICH, Sept 14 Cevian's stake in ABB
has risen to 6.2 percent, according to a filing to the U.S
Securities and Exchange Commission, as the activist investor
steps up its campaign for the Swiss company to separate its
Power Grids business.
Cevian, the second largest shareholder in Zurich-based ABB,
previously held a position of 5.2 percent, according to the
Swiss stock exchange.
The U.S. filing said Cevian has expressed its support for
ABB spinning off its power grids division, "thereby reducing
complexity, enhancing focus and improving the governance,
operations, competitiveness and, ultimately, value of both the
newly-independent Power Grids and the newly-focused Issuer."
Cevian "believes that the benefits of such a spin-off are
significant in relation to the Issuer's current market value,
and far outweigh any costs of separation, included purported
synergies from the conglomerate structure," the filing, which is
dated Sept. 13, said.
On Tuesday Cevian said ABB spinning off its Power Grids
division as a separate business with its own share market
listing would increase the value of investors' holdings by more
than 60 percent.
ABB is due to give an update about the business on Oct. 4.
(Reporting by John Revill)