Versum Materials rejects $48 per share bid from Merck KGaA

Versum Materials (VSM) announced that its Board of Directors rejected Merck KGaA’s unsolicited and non – binding proposal to acquire Versum at $ 48 per share in cash received on February 27, 2019.

 “After careful review and consideration, conducted in consultation with its independent financial and legal advisors, the Versum Board concluded that Merck KGaA’s proposal is not a superior proposal. Versum is committed to completing the merger of equals transaction with Entegris, which the Versum Board believes will create significant long-term value, and is in the best interest of Versum’s shareholders,” the company said.

For each existing Versum Materials share, Versum shareholders would receive 1,120 shares of Entegris under the terms of the merger agreement with Entegris announced on January 28, 2019. It is expected that the confluence with Entegris will close in the second half of 2019.

The merger remains subject to customary conditions, including receiving U.S. and international regulatory approvals, as well as approval from each of the company’s shareholders. On February 27, Versum Materials noted, the registration statement regarding the proposed merger was filed with the Securities and Exchange Commission.

Merck KgaA makes $5.9 billion counterbid for Versum