Prysmian Group (BIT: PRY) and General Cable Corporation (NYSE: BGC) has announced that they have entered into a definitive merger agreement under which Prysmian will acquire General Cable for USD 30.00 per share in cash, the company said.
The transaction values General Cable at approximately USD 3 billion, including debt and certain other General Cable liabilities, and represents a premium of approximately 81% to the General Cable closing price of USD 16.55 per share on July 14, 2017, the last day of trading before General Cable announced its review of strategic alternatives.
The transaction, which has been unanimously approved by each company´s board of directors and recommended to its shareholders by General Cable´s board of directors, is expected to close by the third quarter of 2018, subject to the approval of General Cable´s shareholders representing at least a majority of the outstanding shares, regulatory approvals, and other customary conditions.
Goldman Sachs International and Mediobanca — Banca di Credito Finanziario S.p.A are acting as financial advisors to Prysmian and Wachtell, Lipton, Rosen & Katz is acting as legal advisor. J.P. Morgan Securities LLC is acting as financial advisor to General Cable and Sullivan & Cromwell LLP is acting as legal advisor.
Prysmian Group is world provider of the energy and telecom cable systems industry. With nearly 140 years of experience, sales of over â¬7.5 billion in 2016, 21,000 employees across 50 countries and 82 plants, the Group is strongly positioned in high-tech markets and offers the widest possible range of products, services, technologies and know-how. It operates in the businesses of underground and submarine cables and systems for power transmission and distribution, of special cables for applications in many different industries and of medium and low voltage cables for the construction and infrastructure sectors. For the telecommunications industry, the Group manufactures cables and accessories for voice, video and data transmission, offering a comprehensive range of optical fibres, optical and copper cables and connectivity systems. Prysmian is a public company, listed on the Italian Stock Exchange in the FTSE MIB index.
General Cable (NYSE:BGC), with headquarters in Highland Heights, Kentucky, is a global provider of the development, design, manufacture, marketing and distribution of aluminum, copper and fiber optic wire and cable products for the energy, communications, transportation, industrial, construction and specialty segments. General Cable is one of the largest wire and cable manufacturing companies in the world, operating manufacturing facilities in its core geographical markets, and has sales representation and distribution worldwide.