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Volkswagen's Traton Agrees To Buy Navistar In $3.7 Bln Deal

Traton SE, a subsidiary of Volkswagen Group (VKW.L,VLKAF.PK,VOW.BE), said that it signed an agreement to buy remaining stake in Navistar International Corp. (NAV) it does not already own for $44.50 per share. The deal values the company about $3.7 billion.

The deal comes after Traton said in mid-October it agreed to raise its offer for Navistar to $44.50 per share, from $43.00 per share.

Traton, which already holds about a 16.7% stake in Navistar, said that its executive board and the supervisory board as well as the boards of Volkswagen have approved the deal.

Navistar board has approved the agreement. The transaction is targeted to close in mid 2021.

Major shareholders Icahn Capital LP and MHR Fund Management LLC agreed to vote their shares in favor of the transaction, truck maker Navistar said in a statement.

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