Ferro Agrees To Be Acquired By Prince Int'l In $2.1 Bln Deal; Stock Surges

(RTTNews) - Ferro Corp. (FOE) said that it agreed to be acquired by Prince International Corporation, a portfolio company of American Securities LLC, in an all-cash transaction valued at about $2.1 billion, including the assumption of debt, net of cash.

In Tuesday pre-market trade, FOE was trading at $21.55 up $3.97 or 22.58%.

As per the terms of the deal, Prince will acquire all of the outstanding common stock of Ferro for $22.00 per share in cash. The purchase price represents a 25.1% premium to the closing stock price on May 10, 2021 of $17.58 per share.

Ferro reported that its first-quarter income from continuing operations increased 16.6% to $18.6 million from last year. GAAP earnings per share increased 15.8% to $0.22. Adjusted earnings per share increased 42.3% to $0.37.

Net sales increased 14.3% to $288.4 million from the previous year. Net Sales increased 10.2% on a constant currency basis.

Analysts polled by Thomson Reuters expected the company to report earnings of $0.23 per share and revenues of $288.36 million for the quarter. Analysts' estimates typically exclude special items.