PARIS May 24 France's Safran is
cutting its core cash offer for Zodiac Aerospace by 15
percent to 25 euros per share as part of a restructured proposal
to buy the aircraft seats maker, whose shares have been hit by
recent profit warnings.
The two companies said they had reformulated the agreed
proposal, which would also include an alternative offer of
preferred Safran shares, of a type that cannot be sold for three
years, up to a total of 31.4 percent of the offer.
The revised terms suggest that Zodiac core family
shareholders who decide to accept the offer will no longer
qualify for longstanding tax benefits that would have been
preserved under the original offer outlined in January, since
their special shareholder pact will no longer exist.
Safran now expects to reach its targeted return on the
investment by 2020 or 2021, added the companies' joint
(Reporting by Tim Hepher; Editing by Sudip Kar-Gupta)