Mitsui, Penske Corp. Propose $210/Share Buyout of Penske Automotive
PAG sits 46% above its 52-week low of $140.12.
Summary
Mitsui and Penske Corp. have proposed a $210 per share buyout of the remaining 27.8% of Penske Automotive Group they don't already own, implying an equity value of $13.8 billion. The offer represents a 3% premium to the last close of $203.99 and sits just above the 52-week high of $207.22. The non-binding proposal, disclosed in a Schedule 13D/A filing, is conditioned on approval by a special panel of disinterested directors. The controlling entities have stated they have no interest in selling their Penske Automotive shares and will not vote in favor of any alternative transaction. The buyout would take the auto retailer private, consolidating ownership under the insiders who already control the majority stake.
At the time of this announcement, PAG was trading at $203.99 on NYSE in the Trade & Services sector, with a market capitalization of approximately $12.8B. The 52-week trading range was $140.12 to $207.22. This news item was assessed with neutral market sentiment and an importance score of 9 out of 10. Source: Dow Jones Newswires.