Surprise takeover bid values Icelandic equipment manufacturer Marel at €3.15 per share
Major shareholder Eyrir Invest has agreed to sell its shares if this deal goes ahead.
Icelandic processing equipment manufacture Marel has received a preliminary acquisition proposal to buy all its shares.
Chicago-based John Bean Technologies Corporation (JBT), a technology provider to the food and beverage industry, submitted the non-binding initial proposal, according to a release by Marel issued on Friday.
This offer is not final or legally binding yet but indicates interest in acquiring Marel.
Eyrir Invest, a major shareholder owning nearly a quarter of Marel’s shares, has agreed to sell its shares if this deal goes ahead. Marel is currently reviewing this offer carefully to see if it’s beneficial for the company and all its shareholders. However, it’s not yet certain if this initial interest from JBT will turn into a firm offer or what the final terms would be.
The proposed deal includes a few conditions before it can be finalized. These include JBT completing a detailed examination of Marel’s business (known as due diligence), getting approval from JBT’s board, securing regulatory approvals, agreement from JBT’s shareholders, and ensuring that at least 90% of Marel’s shareholders agree to sell their shares.
As for the financial details, JBT’s offer values Marel at €3.15 per share, considering all shares and Marel’s current debt. The payment for this deal would be a mix of cash (25%) and JBT shares (75%). If the deal is successful, Marel’s current shareholders would own about 36% of JBT.
Marel said it will review the non-binding proposal with due care and process to assess its merits, consistent with the long-term interests of the company and all shareholders.