BERLIN, July 25 (Reuters) – German engineering company and auto supplier ZF Friedrichshafen was recently in advanced takeover talks with U.S. commercial vehicle parts supplier Wabco Holdings before they broke down, the Wall Street Journal reported on Tuesday.
The talks collapsed after due diligence because of resistance from ZF’s board, the newspaper said. ZF declined comment.
Wabco disclosed earlier this month when it released second-quarter earnings that it had received a takeover offer from an unnamed party, the Wall Street Journal reported.
The U.S. company’s quarterly operating margin was hurt by “extraordinary professional fees” related to the bid, the newspaper said, citing a securities filing.
It is unclear whether the German firm could return with another bid, the newspaper said, adding it is possible that Wabco could draw another suitor.
Reporting by Andreas Cremer and Edward Taylor; Editing by Adrian Croft