Volkswagen’s Traton ups bid for Navistar to $3.6 billion

Traton SE announced that it increased its offer for the acquisition of all outstanding shares of truck manufacturer Navistar International Corp. to $43 a share in cash from $35 a share.

Volkswagen AG-subsidiary Traton already holds 16.8% of Illinois-based Navistar. The new deal would be worth $3.6 billion, compared with the original offer of $2.9 billion.

Traton added Volkswagen has confirmed its general intention to provide funds to finance an increased offer. The proposal is subject to a satisfactory due-diligence process and approval of the merger agreement.