Takeover Battle Intensifies: BASF, Evonik, Gerresheimer and Phenom Resources

Phenom Resources: A Hot Stock with Takeover Potential

Phenom Resources is an exciting stock with a strong partner and significant takeover potential. The Vancouver-based Canadian exploration and technology company is still relatively unknown in Europe. That could change soon. The exploration company is focused on gold and vanadium projects in the US state of Nevada. Its gold portfolio includes the four projects Carlin, Dobbin, King Solomon and Crescent Valley. For its exploration efforts, Phenom relies on an experienced team of geologists led by Dave Mathewson, who has already discovered several gold deposits. In 2026, the company is focused on drilling at Dobbin, King Solomon and Crescent Valley. In addition, the company plans to spin off its gold and copper operations into a separate entity and offer its shareholders a stake in it.

In the vanadium sector, Phenom claims to hold the largest and highest-grade primary vanadium resource in North America. A preliminary economic assessment for the project is already available. Further studies are intended to identify opportunities to reduce capital and operating costs. Vanadium is used, among other things, in stationary battery storage systems. Through a 5% stake in the Japanese battery developer MK Plus, Phenom is also involved in the further development of related storage technologies. In addition, the company is developing patented processes to extract vanadium and nickel and is seeking funding and industry partnerships to support this work.

Phenom already has SSR Mining, a gold-focused mining group, as a shareholder and project partner. SSR Mining could also play a major role in the planned spin-off of the gold and copper operations. Most recently, SSR Mining secured a 15% stake in Phenom Resources' Dobbin project for USD 4 million. SSR's investment will be directed entirely toward the project's further development. Once these funds are exhausted, both partners are to finance further exploration and development costs in proportion to their respective stakes. SSR is already Phenom's largest shareholder. According to Phenom, SSR Mining has provided approximately USD 11 million to date. The funds are intended to support the planned exploration work well into next year. In addition to financing, Phenom expects additional technical support from its new project partner.

Gerresheimer Sells Subsidiary: Will It Soon Be Acquired Itself?

Gerresheimer was already the focus of financial investors back in 2025. A consortium consisting of KKR and Warburg Pincus is said to have offered just under EUR 90 per share of the struggling group at that time. After KKR withdrew, the talks were terminated in July 2025. Currently, there are no confirmed new negotiations regarding a sale of the entire group. Instead, the focus is on selling individual business units to Apax and reducing associated debt. However, this streamlining is making Gerresheimer attractive to buyers once again.

mwb research currently sees no takeover potential, nor any upside potential for the share price. The analysts expect more clarity with the final half-year results and reaffirm their "Sell" recommendation with a price target of EUR 20.

The preliminary figures for the second quarter of 2026 at least suggest that Gerresheimer is getting back on track operationally. According to these figures, revenue rose by EUR 55 million from the previous quarter to EUR 578 million. Adjusted EBITDA increased by EUR 35 million to EUR 102 million. Compared to the same quarter last year, however, both revenue and earnings remained down. Adjusted EBITDA was 19% lower. Analysts therefore see a stabilization, but not yet a return to previous levels of profitability.

The sale of Centor, which was completed on October 1, is intended to accelerate debt reduction and lower the risks associated with the Group's restructuring. Centor accounts for about half of the total enterprise value of EUR 1.5 billion agreed upon for Centor and PPP. The PPP sale is expected to be completed in the first half of 2027, after which the Group plans a more comprehensive refinancing. However, analysts still lack details on the exact net proceeds and the remaining group's future earnings base. Until they receive this information, they are maintaining their "Sell" recommendation.

BASF and Evonik: Takeover Standoff Intensifies

The potential acquisition of Evonik by BASF is facing political reservations in North Rhine-Westphalia. On Monday, the state government emphasized that the jobs and independent development of the Essen-based chemical company must not be called into question. Previously, Jochen Ott, leader of the SPD parliamentary group in North Rhine-Westphalia, had already voiced criticism. He sees employment and industrial value creation in the Ruhr region as being at risk and is calling on Minister President Hendrik Wüst to intervene. Through Wüst's seat on the board of trustees of the RAG Foundation, the state government wields influence over Evonik's largest shareholder. The SPD is also demanding information about any preliminary discussions between BASF and the state government.

The merger of the two German chemical giants remains up in the air. According to "Reuters", Evonik has rejected an initial proposal from BASF of approximately EUR 10.3 billion, or EUR 22.15 per share, as too low. BASF has officially confirmed the exploratory talks but has not yet reported an agreement. The RAG Foundation, which holds just under 44% of Evonik's shares, plays a key role. It has since stated that, in principle, it could sell its entire stake. This means a merger remains possible, but no public agreement on the price and terms of a transaction exists yet.
The stock market does not yet seem to believe the takeover will happen. Evonik shares are currently trading below EUR 21.

The takeover saga involving BASF and Evonik is likely to drag on for some time. Whether shareholders should position themselves accordingly, however, is questionable. Both companies are facing problems, and together these are unlikely to diminish. Phenom Resources is an exciting hot stock with takeover potential. With gold and vanadium, the company is active in promising sectors. The focus on vanadium and the spin-off of the gold and copper operations could lead to a re-rating of the stock. And then, of course, there is the potential buyer. That buyer is already on board. Gerresheimer remains a speculative stock, even if there is light at the end of the tunnel.