Amcol International accepts French rival Imerys $1.47-bn revised offer
05 Mar 2014
The battle for control for US minerals and materials group Amcol International Corp heated up with its French rival Imerys raising its offer for the second time to around $1.47 billion, topping an offer from Minerals Technologies Inc.
Imerys, based in Paris, raised its offer by $2.50 per share to $45.25 per share in cash, just a day after Minerals Technologies (MTI) raised its offer to $45 per share (See:With $1.46-bn offer, Minerals Technologies once again outbids Imerys for Amcol). Imerys' offer is worth $1.7 billion, including debt.
Amcol said that its board has accepted Imerys' offer, which is not contingent to financing and is superior to MTI's offer.
The revised offer from Imerys would provide Amcol with the right to specifically enforce MTI's obligation to close the transaction.
''The revised proposed merger agreement removes provisions from MTI's previous draft agreement that made the transaction contingent on MTI's receipt of sufficient financing for the transaction,'' Amcol said in a statement.
"The Amcol Board has been focused on achieving the best possible outcome for our shareholders throughout this process, and the amended merger agreement announced today further demonstrates our commitment to acting in the best interests of all shareholders," said, Ryan McKendrick, CEO of Amcol.
Both Imerys and New York-based Minerals Technologies have been seeking to control Amcol by topping each other's bids since the past month.
With revenue over $1 billion in 2013, Illinois-based Amcol is a global specialty minerals and materials company operating in 26 countries with a strong presence in the US.
The company has a global leadership position in bentonite, a mineral with a unique scope of properties applicable to a diverse set of growing commercial applications ranging from metalcasting to construction and drilling, as well as a number of consumer products.
Amcol also serves the expanding oil and gas market through its Energy Services business.
Imerys is the world leader in mineral-based specialty solutions for industry, with €3.9 billion revenue in 2012 and 16,000 employees.
