By OGJ editors
HOUSTON, May 25 -- Austrian lawmakers have nixed a proposed merger between OMV AG and power company Verbund. The Vienna companies had announced plans for a cash-and-stock transaction valued at �12.6 billion ($16.6 billion).
The proposal failed to garner approval from a required two-thirds majority of the Austrian Parliament in order to transfer the 51% stake in Verbund owned by the Republic to OMV Verbund (OGJ Online, May 11, 2006).
Terms had called for a 60-40 merger in which OMV planned to offer Verbund shareholders a choice of 6.5 shares of OMV stock/share of Verbund or �425/share in cash.