OSLO - Shares in Norsk Hydro ASA were higher in opening trade, but remained largely in line with a rising overall market, after rumours of a 30 bln usd bid for Canada's Alcan Inc failed to excite investors, dealers said.
At 10.10 am, shares in Hydro were up 0.25 nkr, or 0.12 pct, at 211.75, while the OSEBX benchmark index was 0.20 pct higher at 492.65.
According to Canada's 'Globe And Mail' newspaper, Norway's Hydro is planning a 30 bln usd-plus bid for Alcan, the Canadian aluminium manufacturer which is already facing a bid from US rival Alcoa Inc.
The newspaper cites investment bankers working with the two companies as the source of the story.
Hydro, which is 43.8 pct-owned by the Norwegian state, has declined to comment on the story.
Alcan is already the subject of a bid from Alcoa worth 33 bln usd including debt, to form the world's biggest aluminium company.
While Alcan has rejected Alcoa's offer as too low, the firm has said it would be ready to study an improved offer.
Analysts in Oslo said it "is not impossible" that Hydro could be considering a bid.
"Of course Hydro will be looking at Alcan, but I think the chances of a bid emerging are probably quite limited, particularly given everything else that the firm's dealing with at the moment," one said, referring to the ongoing merger of Hydro's oil and gas activities with peer Statoil ASA.
Carnegie, meanwhile, advised investors to sell Hydro and buy into Statoil instead.
"We think it would most likely be negative for the Hydro share price if it started bidding on Alcan," the broker said. Carnegie has an 'underperform' recommendation on Hydro.
Another major Scandinavian broker, meanwhile, played down the chances of Hydro being successful in a bid for Alcan.
The broker, which has an 'accumulate' recommendation on Hydro, said it sees Hydro "as bottom of the pile in likely winners".
豫公网安备41010502003434号