Deminor Active Governance Fund (DAGF) notes however that Bertelsmann has confirmed that acquiring 100% of RTL Group is a “strategic goal” and that it will continue to “assess all routes that are or may become available” in order to achieve this goal. Because of technical reasons (the Luxembourg takeover law), the German group has decided to postpone its decision to launch a takeover on RTL Group.

DAGF believes that an offer for all RTL Group shares at a fair price remains a welcome development that could clarify the position of the RTL Group shareholders and that any obstacle, including uncertainties in the Luxembourg takeover law, should be removed immediately.

The solution now lies in the hands of the Luxembourg authorities who need to take all measures in order to restore legal certainty, including a change of the Luxembourg legislation in case it would be necessary. Those measures would be in the interest not only of RTL shareholders in this specific situation but also of all Luxembourg listed companies and their shareholders in general as legal uncertainties do not contribute to an efficient functioning of the financial markets.

While waiting for those legal uncertainties to be removed, DAGF believes that the additional time available should be used as an opportunity to take all necessary steps to ascertain that the price that will be offered to RTL Group minority shareholders will be a fair price and will reflect the true value of the company.