CPI International (Nasdaq:CPII) has been acquired by Veritas Capital for close to $525 million, subject to customary regulatory and shareholder approval.
On the shareholder side, it already looks like there will be no problem, as CPI shareholders holding 49 percent of stock have already signaled they support the deal.
Commenting on the deal, Canaccord said, "CPI has inked a deal with private-equity firm Veritas Capital to be acquired for about $525 million. The California-based provider of microwave, radio frequency and power and control solutions said the offer amounted to $19.50 a share, a 35% premium to the prior-day close and a level the shares haven’t seen in years."
CPI's management and board of directors support the deal as well.
Joe Caldarelli, chief executive of CPI, said, “Our board of directors and management believe this transaction will provide considerable benefits for CPI’s customers, and CPI’s stockholders will benefit from a significant premium over the current stock price.”
CPI closed Monday at $19.26, falling slightly to by $0.05, or 0.26 percent.
No comments:
Post a Comment