Patriot Transportation Agrees To Be Taken Private By United Petroleum For $16.26/shr; Stock Surges

(RTTNews) - Patriot Transportation Holding Inc. (PATI) agreed to be taken private by United Petroleum Transports Inc. for $16.26 per share in cash. The transaction values Patriot Transportation at about $65.9 million, including assumed cash and debt.

In Wednesday's regular trading session, PATI was trading at $15.66 up $7.98 or 103.91%.

The transaction, which has been unanimously approved by Patriot's Board of Directors, is subject to the satisfaction of other customary closing conditions, including the approval of Patriot's shareholders. Shareholders owning 26.6% of the voting power of Patriot's common stock have agreed to vote in favor of the merger.

Upon completion of the transaction, which the parties expect will occur by early 2024, Patriot will become a private company and delist from the NASDAQ Global Select Market.

The definitive merger agreement includes a 30-day "go-shop" period that will expire on December 1, 2023, which permits Patriot and its representatives to actively solicit and consider alternative acquisition proposals.