A consortium of private equity firm MidOcean Partners and Canadian pension fund Public Sector Pension Investment Board (PSP) has withdrawn its unsolicited counter bid for aerospace component developer EDAC Technologies.
The move means that the original…
A consortium of private equity firm MidOcean Partners and Canadian pension fund Public Sector Pension Investment Board (PSP) has withdrawn its unsolicited counter bid for aerospace component developer EDAC Technologies.
The move means that the original offer from Greenbriar Equity Group, a fund that focuses exclusively on the global transportation industry, remains the only one of the table. The board of directors of EDAC continues to unanimously recommend that offer, which is due to expire on 23 April 2013
On March 26, Greenbriar, via acquisition vehicle GB Aero Engine Merger Sub., launched a cash tender offer of US$17.75 per share for EDAC. That offer price represented a premium of approximately 29.6% over EDAC’s average closing price during the 90 trading days ending 15 March and valued EDAC’s equity at approximately US$104.1m.
Two days later MidOcean and PSP launched a counter bid of US$18.25 per share subject only to confirmatory due diligence. EDAC’s board subsequently informed Greenbriar that it planned to engage in discussions with this consortium over its unsolicited acquisition proposal.
However, on 8 April, MidOcean and PSP informed EDAC that they were withdrawing their offer.
Stifel, Nicolaus & Co is financial adviser and Robinson & Cole and Godfrey & Kahn legal counsel to EDAC on the transaction. Kirkland & Ellis is legal counsel to Greenbriar.
