Italy’s Prysmian will acquire copper and aluminium electrical cable maker Encore Wire for an enterprise value of about 3.9 billion euros ($4.15 billion), the companies said on Monday.
Prysmian, the world’s largest cable maker, will buy Encore Wire for $290 per Encore share, which is an 11% premium to the stock’s close of $260.98 on Friday.
The deal will allow Prysmian to boost its exposure to North America and broaden its product offering, it said.
Prysmian will finance the transaction through a mix of 1.1 billion euros in cash and newly committed debt facilities of 3.4 billion euros, it said.
The transaction has been approved by each company’s board of directors and is expected to close in the second half of 2024, subject to regulatory and shareholder approvals.
Source: Reuters.com