Georgia-Pacific LLC announced that an entity controlled by Georgia-Pacific, GP Cellulose Group LLC, has launched its tender offer for all of the outstanding shares of common stock of Buckeye Technologies Inc. (BKI) at $37.50 per share net to the holder in cash.
On April 24, 2013, Georgia-Pacific announced that Buckeye Technologies, Georgia-Pacific and GP Cellulose Group had signed a definitive merger agreement and that the tender offer would follow. The board of directors of Buckeye Technologies unanimously approved the terms of the merger agreement, including the tender offer, and recommended that Buckeye Technologies stockholders tender their shares in the offer.
As per terms of the merger agreement, after the completion of the tender offer and the satisfaction or waiver of all conditions, Buckeye Technologies will merge into Georgia-Pacific's GP Cellulose Group, and all outstanding shares of Buckeye Technologies' common stock, other than shares held by Georgia-Pacific, GP Cellulose Group or Buckeye Technologies, or shares held by stockholders of Buckeye Technologies who have and validly exercise appraisal rights under Delaware law, will be cancelled and converted into the right to receive $37.50 per share, net to the holder in cash.
The tender offer and withdrawal rights are scheduled to expire at midnight New York City (Eastern) time on June 4, 2013, unless extended or earlier terminated.
Buckeye Technologies' directors and executive officers, who collectively held 3.6 percent of the outstanding shares of common stock of Buckeye Technologies as of April 24, 2013, have agreed to tender their shares in the offer.
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