Gentherm to Spin Off Unit, Then Merge It with Platinum Gold Merger Sub
THRM sits 39% above its 52-week low of $27.
Summary
Gentherm will immediately spin off a unit, after which Platinum Gold Merger Sub Inc., a wholly owned subsidiary of Gentherm, will merge with the spun-off entity (SpinCo). The record date for the SpinCo distribution is September 28, with distribution expected October 1, and the merger is expected to be completed immediately following the distribution on the same day. Gentherm's board declared a special cash dividend estimated at $58.4 million, or $1.90 per share, conditioned upon closing of the merger. The new fragment reports the special dividend as $58.35 million. This is a new structural development in the ongoing Modine Performance Technologies transaction, adding a spin-off step not previously disclosed.
At the time of this announcement, THRM was trading at $37.66 on NASDAQ in the Industrial Applications And Services sector, with a market capitalization of approximately $1.2B. The 52-week trading range was $27.00 to $48.35. This news item was assessed with neutral market sentiment and an importance score of 8 out of 10. Source: Dow Jones Newswires.