Solstice Scraps $14.5B Element Solutions Deal, Stock Jumps 17%
SOLS sits 60% above its 52-week low of $40.43.
Summary
Solstice Advanced Materials and Element Solutions mutually terminated their $14.5 billion merger agreement, citing shareholder feedback. Solstice shares jumped 17% to $66 in premarket trading, while Element Solutions rose 3.4%. The company also authorized a $500 million share buyback program, its first, and reaffirmed its guidance. This follows the July announcement of the deal, which had sent Solstice stock down double digits. The termination removes a major overhang and returns capital to shareholders, a clear positive for Solstice.
At the time of this announcement, SOLS was trading at $64.80 on NASDAQ in the Industrial Applications And Services sector, with a market capitalization of approximately $8.9B. The 52-week trading range was $40.43 to $90.80. This news item was assessed with positive market sentiment and an importance score of 9 out of 10. Source: Dow Jones Newswires.