KONE

Employees of TK Elevator protested in front of the company headquarters in Düsseldorf against the planned merger with Kone. The deal, worth more than €29 billion, was announced three weeks ago; IG Metall warns that more than 100,000 employees could be affected. The union fears that planned savings of around €700 million per year will be achieved through job cuts, plant closures and increased pressure. IG Metall is demanding binding assurances to secure jobs and sites and full respect for co-determination rights; around 500 TKE employees took part in the day of action. » More on finanzen.net

Kone and tkE announced on April 29 that they will combine to form the world's largest liftmaker. The mega-deal will reshape the elevator industry and leave the merged group towering over rivals in global scale. The transaction is presented as a transformational consolidation of two of the sector's leading firms. » More on economist.com

Kone will buy TK Elevator from Advent and Cinven for about €29.4 billion, which would make it the world’s largest elevator manufacturer with over 100,000 employees and more than €20 billion in annual revenue. The deal, planned within 12–18 months, is intended mainly to strengthen the high‑margin maintenance and modernization business and deliver significant scale effects. JPMorgan upgraded Kone to “Overweight” and raised its price target to €70, citing roughly €700 million in annual synergies and rising cash flows. Analysts point to potential antitrust hurdles and higher debt as risks but are confident that any conditions will be limited and no capital increase will be necessary. » More on de.investing.com