Johnson Controls Inc. (JCI: Quote) said Friday it recommends that shareholders not tender their shares in response to TRC Capital's unsolicited mini-tender offer to purchase up to 4 million shares, or about 0.58%, of Johnson Controls' outstanding common stock at a price of $25.60 per share.
TRC Capital's offer price is $1.33, or about 4.94%, below Johnson Controls' closing share price of $26.93 on August 27, the date prior to the date of the offer.
The TRC Capital offer is at a price below the current market price of Johnson Controls common stock, and TRC Capital's obligation to purchase shares tendered is subject to a number of conditions, including the ability of TRC to obtain sufficient financing on terms satisfactory to TRC, Johnson Controls noted.
Mini-tender offers are third-party offers that seek to acquire less than 5% of a company's outstanding shares.
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by RTT Staff Writer
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