TE Connectivity, a Swiss-based manufacturer of connectivity and sensor solutions, has announced a definitive agreement with Schaffner Holding for the launch of a public tender offer. The offer will be made for all of Schaffner's publicly held registered shares.
All Cash Offer
The pre-announced offer will be an all cash offer of 505 Swiss francs ($573.86) per share. TE Connectivity has stated that this represents a significant premium of 79% over Schaffner's closing share price on August 16. Additionally, it offers a nearly 75% premium to the volume-weighted average price of the last 60 trading days.
TE Connectivity has received unanimous approval from Schaffner's board of directors for the offer. Furthermore, the deal has garnered support from Schaffner's largest shareholder, Buru Holding, which owns approximately 17.2% stake in the company. Buru Holding has committed to tender all of its shares in Schaffner into the offer.
With this agreement, TE Connectivity aims to expand its portfolio by incorporating Schaffner's electromagnetic compatibility filter products.
Settlement and Approvals
The settlement for this deal is expected to take place in December 2023. However, it is subject to regulatory approvals as per TE Connectivity's statement.