HC2 Makes $1.04 Bln Offer For Andersons

(RTTNews) - HC2 Holdings Inc. (HCHC) said that it has sent a letter to Michael Anderson, Chairman of the Board of Directors of The Andersons Inc. (ANDE), stating its continued desire to acquire The Andersons for $37 per share in cash or a total purchase price of $1.043 billion, plus the assumption of $402 million in debt as of March 31, 2016.

ANDE closed Tuesday's regular trading at $25.94, down $0.59 or 2.22 percent. However, in the after-Hours, the stock gained $7.28 or 28.06 percent.

"An acquisition of The Andersons is consistent with our strategy of pursuing cash flow positive businesses that enhance the overall shareholder value for the company," said Philip Falcone, HC2's Chairman, President and Chief Executive Officer.

HC2 stated it looks forward to working with The Andersons' management team and Board of Directors to maximize shareholder value for all stakeholders.

HC2 said in a letter, "Since January, HC2 has repeatedly expressed its interest to you and the Board to enter into a negotiated transaction with the Company that would create immediate value for all of the Company's shareholders. Yet, neither you nor anyone at the Company have substantively responded to our $37 all cash offer. Furthermore, despite the Company's assurance that there would be a meaningful exchange of information at our April 18th meeting, your representatives only stated that "our price was too low," without providing any indication of an acceptable price or a justification for a higher price. Unfortunately, you have left us no choice but to make your shareholders aware of our proposals."