If I recall correctly, there were rumors earlier this year that Kone would buy the rest of Toshiba’s elevator operations, of which it currently owns 20%. The deal would be significantly smaller than the TKE deal, but presumably it is now off the table, at least for the time being.
Synergy benefits could be more than that €700M in the future (even in the near future), which makes the purchase price more reasonable. On the other hand, KONE has always sought growth through acquisitions and has also very often succeeded in them. One can already speak of a strong track record 
I agree with you that the synergy savings could be greater than projected, but Kone’s previous small successful acquisitions are not a basis for the merger with TKE going smoothly. The fact that Kone still has one major shareholder makes things a bit easier.
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I want to think, if only a bit sentimentally, that ASEA and Westinghouse are now seeing a continuation, and that the TKE deal has been in the works for decades already. But yes, there are risks too. If Antti “scrapes together” a billion, maybe I can believe in this too 
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@Alex_af_Heurlin1 and @Elina_Lappalainen discussed Kone’s massive deal in particular on the podcast. 
Thirty years ago Antti Herlin’s father was close to selling Kone to the Germans. Now Antti Herlin did the opposite: he bought his German competitor for 29.4 billion euros in the largest corporate acquisition in Finnish history.
As a result of the deal, Kone will become the world’s largest elevator manufacturer and Finland’s second-largest company measured by revenue.
Why is the elevator business so great for owners? Why is Antti Herlin paying an extra billion out of his own pocket on top of the deal? The episode explores the background of the deal, the risks, and Finnish corporate acquisition history.
In the studio, journalists Alex af Heurlin and Elina Lappalainen. The episode was edited by Helmi Sundström.
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JP Morgan justifies raising the target from €65 → €70, in connection with the Thyssen deal, a ‘transformative’ one.
Interesting point, a target more familiar than usual for Kone:
Given that Kone previously attempted to acquire TKE in 2020 and conducted extensive due diligence ahead of TKE’s previously planned IPO, the analyst said he had "no reason to doubt management’s confidence in achieving all the necessary regulatory approvals while preserving the strategic rationale of the combination
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Here is the company report on Kone from Aapeli following the Q1 results and the mega-deal
We reiterate our Reduce recommendation for KONE and our target price of EUR 56. The company’s Q1 result was in line with expectations, but the main focus was on the historic merger with TK Elevator. We find the industrial logic of the deal very clear, but there is uncertainty regarding its final form and schedule due to competition authority proceedings. Furthermore, if the merger is realized, a massive integration process still lies ahead. In our view, the situation is a balancing act between increased long-term potential and medium-term risks. Looking at the big picture, we believe the risks and, on the other hand, the neutral valuation of the independent KONE weigh in the balance.
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I wonder if it might be the case that in many analysts’ recommendations, the risks of the coming years are given a heavy weight, while some are projecting all the way out to the 2030s.
Yesterday, May 7th, institutional investors (instikat) started selling Kone more heavily towards the evening. For now, the support level has held at 52 euros. Let’s see if it stays there or if we still drop to the 50–51.5 levels.
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Yesterday, May 8th, institutional selling continued, and Kone’s share price closed at 51.14 euros. Now we wait to see if the support level will hold at 51 euros next week—meaning, whether enough buyers will step in at that level. The stock is currently being repriced by the big “players.” I believe we are certainly quite close to the bottom, even if we momentarily dip lower.
Most analysts have not yet updated their public recommendations. The simplest explanation is that the announcement of the merger did not, after all, include any major, obvious change that would have immediately shifted views in any specific direction. One interpretation is that if the merger is not a positive driver, it must be a negative one.
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True. June’s extraordinary general meeting and especially Kone’s Q2/Q3 earnings releases will provide analysts and investors with the additional information they need. The stock and its risks are currently being repriced, but I believe the greatest selling pressure from institutions (instikot) will be over, at least momentarily, after the coming week. Will the support level for the stock then be 50–51 euros? I believe so, even if we briefly dip lower than that.
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