Court Square Capital Partners, Pike CEO To Buy Pike Electric

(RTTNews) - Investment firm Court Square Capital Partners in partnership with Eric Pike, chairman and chief executive, of Pike Electric Corp. (PIKE) agreed to buy the company in a transaction in which each of the Pike's shareholders will receive $12 in cash, without interest and less any applicable withholding taxes, for each share of the company's common stock they hold. The transaction is expected to close in the second quarter of Pike's 2015 fiscal year, or the fourth quarter of calendar year 2014. The agreement offers a 30-day "go-shop" period, during which alternative acquisition proposals by other parties will be evaluated. The merger agreement will be submitted to the company's shareholders for their approval. Following the acquisition, Pike will continue to lead the company as chairman and chief executive Officer. The transaction will be financed through cash funded by an investment fund affiliated with Court Square, equity contributed by Pike and his affiliates, debt financing that has been committed by J.P. Morgan Securities LLC, KeyBank National Association and SunTrust Bank, and cash on hand.