Summary
PGT Innovations has received an unsolicited bid of $41.50 per share from Miter Brands, which could lead to a bidding war with Masonite International. Last month, PGT rejected a lower offer from Miter and accepted a $41 per share offer from Masonite International. This news has driven PGT Innovations’ stock to an all-time high.
News Details
PGT Innovations (PGTI) stock has reached an all-time high after the window and door manufacturer received a $2.4 billion unsolicited acquisition offer from competitor Miter Brands, which may spark a bidding war with another door and window manufacturer, Masonite International (DOOR).
PGT announced that Miter has made a cash offer of $41.50 per share, representing a 2% increase over PGT’s closing price the previous day. Reports indicated that PGT had rejected a $38 per share offer from Miter last month. On December 18, Masonite International agreed to acquire the company for $3 billion, or $41 per share. This offer included receiving $33.50 in cash and $7.50 in common stock for each PGT share held.
PGT clarified that according to the terms of the Masonite agreement, the board will carefully review Miter Brands’ offer in consultation with independent financial and legal advisors to determine if it is likely to lead to a better proposal. The company added that it would not provide any further comments until the board’s review is complete, advising shareholders to “take no action at this time.”
PGT Innovations’ shares rose by 3.2% to $41.50 per share around 12:30 PM Eastern Time on Wednesday and have more than doubled over the past year. Masonite International’s shares fell by 0.8% to $84.33 per share on Wednesday after the news, but were up 4.2% compared to last year.
Sources
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Article Sources:
– PGT Innovations. “PGT Innovations, Inc. Receives Unsolicited Proposal from Miter Brands.”
– PGT Innovations. “Masonite Announces Transformative Acquisition of PGT Innovations, Creating a Leading Door and Window Solutions Company with Over $4 Billion In Combined Revenue.”
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