Benzinga's M&A Chatter for Wednesday June 6, 2012
Submitted by charlesgross on Wed, 06/06/2012 - 17:17
The following are the M&A deals, rumors and chatter circulating on Wall Street for Wednesday June 6, 2012:
Kenneth Cole Production's Board of Directors Approves Kenneth Cole's Offer to Acquire Company for $15.25 per Share
The Deal:
Kenneth Cole Productions (NYSE: KCP) announced Wednesday that it has entered into a definitive merger agreement under which Kenneth D. Cole, Chairman and Chief Creative Officer of the Company and the beneficial holder of approximately 46% of the Company's outstanding common stock (representing approximately 89% of the voting power), will acquire the Company through KCP Holdco, Inc., an entity he controls that was formed for the purposes of the acquisition.
Under the agreement, the Company's shareholders, excluding Mr. Cole and his affiliated entities, will receive $15.25 per share in cash upon completion of the transaction. The price represents a premium of 17% to the closing price of the Company's shares on February 23, 2012, the last trading day before the announcement by Mr. Cole of his proposal, and a premium of 28% over the average closing price of the Company's Class A common stock for the 45 trading days prior to that date, and implies a total enterprise value of approximately $245 million.
Kenneth Cole Productions closed at $15.06 on Wednesday, a gain of 3.58% on 11 times the average daily volume.
Ancestry.com Reportedly Hired Qatalyst Partners to Find Buyer
The Rumor:
Ancestry.com (NASDAQ: ACOM) has reportedly hired Qatalyst Partners to find a buyer for the online genealogy company, according to Bloomberg.
A spokesperson for Ancestry.com would not comment on "rumors or speculation."
Ancestry.com closed at $25.06 Wednesday, a gain of 10.74% on 3.5 times the average daily volume.
Fifth & Pacific to Acquire Kate Spade for $45M to $50M
The Deal:
Fifth & Pacific (NYSE: FNP) plans to exercise an option to acquire a 51% interest in Kate Spade Japan held by Sanei International after it completes a round of debt financing.
The purchase price is expected to be $45 million to $50 million.
Fifth & Pacific closed at $11.39 on Wednesday, a gain of 0.89% on average volume.