logo
Plus   Neg
Share
Email

Autokiniton Global To Buy Tower Int'l For About $900 Mln In Cash - Quick Facts

Auto component maker Autokiniton Global Group or AGG agreed Friday to acquire peer Tower International, Inc. (TOWR) for $31 per share in cash. AGG is a portfolio company of private equity firm KPS Capital Partners with over $5.0 billion of assets under management.

The all-cash transaction represents a 70 percent premium to Tower's closing stock price on July 11, 2019. Including Tower's debt and pension related liabilities, the total value of the transaction is about $900 million.

The transaction is anticipated to close in September or October of 2019, whereby a wholly-owned subsidiary of AGG will merge with and into Tower.

The definitive agreement includes a 35 day "go-shop" period, which permits Tower's Board and financial advisor to actively initiate, solicit and consider alternative acquisition proposals. Additionally, Tower has agreed to forego paying dividends through the consummation of the transaction.

For comments and feedback contact: editorial@rttnews.com

Business News

Editors Pick
Canada's new regulations that provide extra protection for airline passengers will kick in Monday, July 15. The new rules from the Canada Transportation Agency, which has received severe backlash from industry and consumer advocates, requires airlines to compensate passengers up to $2,400 if they... California-based Fieldsource Food Systems Inc. has recalled about 13,000 pounds of diced beef and chicken products due to misbranding and undeclared allergens. The company says the product contain wheat, a known allergen, but is not declared on the product label. The uncooked, marinated, diced beef... The U.S. may approve certain companies to re-start new sales to Chinese telecom equipment giant Huawei in as soon as two weeks, Reuters reported Sunday, citing a senior U.S. official. According to the report, licenses will be issued to the U.S. companies on a case-by-case basis, starting in the next two to four week. Huawei is the world's largest telecom equipment maker.
Follow RTT