Container Lessor Textainer Agrees To Be Taken Private By Stonepeak In $2.1 Bln Deal

(RTTNews) - Container lessor Textainer Group Holdings Limited (TGH) agreed to be taken private by U.S. Infrastructure fund Stonepeak for $50.00 per share in cash, in a deal valued at $2.1 billion.

The transaction represents an enterprise value of about $7.4 billion. The purchase price represents a premium of about 46% over Textainer's closing share price on October 20, 2023, the last full trading day prior to the transaction announcement.

The transaction is expected to close in the first quarter of 2024. Shortly after completion of the transaction, Textainer common shares will no longer be listed on the New York Stock Exchange and Johannesburg Stock Exchange, Textainer said in a statement on Sunday.

Prior to closing, Textainer intends to maintain its current quarterly dividend on both the Textainer common and preference shares.

The definitive merger agreement includes a 30-day "go-shop" period expiring on November 22, 2023, which permits Textainer and its financial advisor to continue to actively solicit and consider alternative acquisition proposals.

Following the completion of the transaction, Textainer will continue to be led by its President and CEO, Olivier Ghesquiere, and will continue to be headquartered in Hamilton, Bermuda.

TGH closed Friday's trading at $34.15 down $0.66 or 1.90%. In after-hours trading, the stock further declined $0.13 or 0.38% and ended at $34.02