Encore Wire rises on Prysmian's $4.15 bln buyout offer

Encore Wire

15/04/2024 12:34

** Shares of Encore Wire  WIRE.O  jump 8.3% to $282.70
premarket after Italy's Prysmian  PRY.MI  to buy co in all-cash
deal
    ** World's largest cablemaker will acquire WIRE in an
all-cash transaction for an enterprise value of 3.9 bln euros
($4.15 bln) 
    ** PRY offers $290/shr, 11% premium to WIRE's last close
    ** Deal expected to close in the second half of 2024; PRY
will finance through a mix of 1.1 bln euros in cash and debt
facilities of 3.4 bln euro
    ** The deal will also allow Prysmian to broaden its product
offering and "will grow its North American presence, enhancing
its portfolio and geographic mix" - COO and CEO-designate of
Prysmian
    ** PRY has made two large acquisitions, i.e
Netherlands-based Draka in 2011 and U.S.-based General Cable in
2018, since its spin-off in 2005
    ** PRY is up 6.1%, hitting all-time high in regular European
trade 
    ** WIRE was up 22.2% YTD as of last close     

 (Reporting by Pranav Kashyap in Bengaluru)
 ((Pranav.Kashyap@thomsonreuters.com;))