KKR's $9B UGI Takeover Bid Gains Analyst Support
KKR sits 31% above its 52-week low of $82.67.
Summary
KKR has made a $42.50 per share offer to take UGI private, valuing the power and fuel company at roughly $9 billion. Jefferies analysts see UGI's CEO Robert Flexon as receptive to strategic alternatives, citing his history of leading companies through M&A. The deal would give KKR a major European LPG footprint alongside its recent DCC Energy acquisition, but could face antitrust scrutiny in France where the combined entity would control about 70% of the market. UGI shares are up about 7% since the WSJ report, indicating market optimism. This follows KKR's aggressive acquisition spree, including the $4.2B EDF Power Solutions deal and the £5.75B DCC Energy takeover. The week also saw KKR's A$7.7B buyout of Steadfast.
At the time of this announcement, KKR was trading at $108.00 on NYSE in the Finance sector, with a market capitalization of approximately $97.4B. The 52-week trading range was $82.67 to $152.10. This news item was assessed with positive market sentiment and an importance score of 9 out of 10. Source: Dow Jones Newswires.