Vulcan Materials’ acquisition of Polaris Materials Corp. has been thrown into doubt after the Canadian aggregates producer said it has received a superior offer from an unnamed “major US construction materials company listed on a US stock exchange”.
Vulcan and Polaris announced their deal on 28 August.
The new bidder has “offered to acquired all of the issued and outstanding common shares of the company for cash consideration of CAN$3.40. Vulcan has originally offered CAN$2.79 per share, which valued Polaris at CAN$252 million.
Under Polaris’ agreement with Vulcan, the US company now has five business days to increase its offer. This “matching period” expires on 28 September 2017.
“At this time, there can be no assurance that the new offer will lead to a termination of the Vulcan agreement,” said Polaris. “Accordingly, the board has not changed its recommendation regarding the offer under the Vulcan agreement.”
Polaris operates the Orca sand and gravel quarry in British Columbia, Canada, as well as two import terminals in Richmond and Long Beach, California, USA.
Read the article online at: https://www.worldcement.com/the-americas/22092017/polaris-receives-a-second-take-over-bid/