Welbilt secures $ 3.3 billion offer from Italian group Ali
which agreed to sell in a $ 2.9 billion deal last month, received a top offer valuing the catering equipment maker at around $ 3.3 billion.
Italy’s Ali Group said on Friday it made an offer to buy the company for $ 23 a share on May 25.
Welbilt agreed in April to sell himself to rival Middleby Corp.
for 0.1240 Middleby share for each Welbilt share, an offer which at the time was worth about $ 20.69 per share.
Shares of Florida-based Welbilt closed at $ 24.71 on Friday.
Middleby said its all-stock deal is superior to Ali Group’s offering because it allows Welbilt shareholders to benefit from the future growth of the combined company.
Ali Group, which also manufactures catering equipment and operates worldwide, was founded in 1963 and is privately held.
One of Welbilt’s major shareholders is Carl Icahn, who owns an approximate 7.5% stake. Mr Icahn has a representative on his board of directors and had agreed to vote in favor of the Middleby deal.
So far this year, outbidding bids are commonplace, as companies teeming with cash and high stock prices seek targets that are sometimes beaten due to market volatility.
Write to Cara Lombardo at [email protected]
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Appeared in the print edition of May 29, 2021 under the headline “ Italian suitor makes rival bid of $ 3.3 billion for Welbilt ”.