Furniture maker Herman Miller to buy peer Knoll for $1.8 bln (updated)

MillerKnoll

19/04/2021 12:38

(Adds details on deal, background on Herman Miller, share
moves)
    April 19 (Reuters) - Office chair maker Herman Miller Inc
 MLHR.O  said on Monday it would buy peer Knoll Inc  KNL.N  for
$1.8 billion in a cash-and-stock deal, a move that would help
the company expand as offices around the world start bringing
their employees back to work. 
    Under the terms of the deal, Herman will pay Knoll
shareholders $25.06 per share, representing a 45.4% premium to
Knoll's closing price on Friday. urn:newsml:reuters.com:*:nPn8PdZtFa
    Knoll's shares jumped 28.7% to $22.17 in premarket trading,
while those of Herman Miller fell 13.1% to $38.51.
    Herman Miller's overall revenue fell during the COVID-19
pandemic as offices shuttered to prevent spread of the virus.
    However, Herman Miller said it has opportunity for growth as
corporations look to rearrange workspaces in accordance with
social distancing guidelines and as some people make their
work-from-home setups permanent.
    Herman Miller's shareholders will own about 78% of the
combined company, which comprises 19 brands and has a presence
across over 100 countries.
    Goldman Sachs & Co is serving as the financial advisor to
Herman Miller, while BofA Securities is serving Knoll. 
    

 (Reporting by Uday Sampath in Bengaluru; Editing by Amy Caren
Daniel)
 ((UdaySampath.Kumar@thomsonreuters.com; within U.S.+1 646 223
8780; Twitter: https://twitter.com/sampath_uday  ;))