Avantrax jumps on $1.2 bln buyout offer from Cetera Financial Group

Avantax

11/09/2023 15:19

** Fund operator Avantax's shares  AVTA.O  rise 28% to
$25.50, hitting the highest in over a month 
    ** Co announces acquisition of all its outstanding shares by
financial advisor Cetera Financial Group, in an all-cash deal of
$1.2 bln enterprise value 
    ** Avantax common stockholders will receive $26.00 in
cash/share, a premium of 30% to AVTA's last close 
    ** Deal will add AVTA's $7.6 bln in asset management to
Cetera, will strengthen Cetera's recent solution offering -
Cetera CEO Mike Durbin 
    ** AVTA to become a private co after deal, stock will no
longer be listed on the Nasdaq
    ** Transaction expected to close by the end of 2023
    ** AVTA flat YTD

 (Reporting by Purvi Agarwal in Bengaluru)
 ((Purvi.Agarwal@thomsonreuters.com))