Breaking News
FONT-SIZE Plus   Neg
Share SHARE

WSJ: KKR Reaches Deal To Buy Gardner Denver For $76 Per Share

RELATED NEWS
Trade KKR now with 

Private equity firm KKR (KKR: Quote) has reached a deal to buy Gardner Denver Inc. (GDI: Quote), a manufacturer of industrial-pumps, for $76 per share, the Wall Street Journal reported, quoting a person familiar with the matter.

An announcement regarding the deal, which values the firm at around $3.74 billion, may be made as early as Friday. KKR's board was meeting late Thursday to approve the transaction.

It was reported last month that KKR offered to acquire the industrial equipment maker for $75 per share, with that proposed deal valuing the company at about $3.68 billion. The offer has now been raised as Gardner sought a higher price.

The deal would be the third for KKR in as many years in the industrials space. The buyout firm agreed to buy Capsugel, a unit of drugmaker Pfizer Inc. (PFE), in April 2011. Later in the same year, KKR agreed to acquire Capital Safety Inc., a provider of safety products and equipment for construction and other workers.

In late October 2012, Gardner had said its board was exploring strategic alternatives to enhance shareholder value, including enhancing the company's existing strategic plan or a possible sale or merger.

KKR's initial offer came after two other suitors for Gardner Denver reportedly walked away from the bidding process as the company was said to be slow in assisting them with due diligence. A joint offer by Onex Corp. and TPG Capital and a separate offer from Advent International Corp. were reportedly withdrawn, partly due to lack of cooperation on part of Gardner Denver's management.

Bloomberg had reported in early January that Gardner attracted renewed interest from private equity firms KKR and Advent International Corp. after the company ended merger talks with diversified machinery company SPX Corp. (SPW: Quote).

GDI closed on Thursday at $73.85. KKR closed down 0.3 percent at $18.80.

Register
To receive FREE breaking news email alerts for KKR & Co. L.P. and others in your portfolio

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Editors Pick
Stocks moved notably higher over the course of the trading day on Friday after initially showing a lack of direction. The gains on the day extended the recent upward trend by the markets, with the tech-heavy Nasdaq reaching its best closing level in almost a month. Looking to capitalize on news of an Ebola diagnosis in New York City, Republican Senate candidate Scott Brown issued a statement Friday criticizing his Democratic opponent Sen. Jeanne Shaheen, D-N.H., for "waffling" on a travel ban. In another troubling sign for Democrats, the results of a Gallup poll released on Friday show that Tea Party Republicans are much more motivated to vote in the upcoming midterm elections than other Americans. The poll found that 73 percent of Tea Party Republicans are "extremely" or "very" motivated to vote in this year's elections.
comments powered by Disqus
FREE Newsletters, Analysis & Alerts

 

Stay informed with our FREE daily Newsletters and real-time breaking News Alerts. Sign up to receive the latest information on business news, health, technology, biotech, market analysis, currency trading and more.