KKR Confirms Intention To Acquire CIRCOR International

(RTTNews) - Investment company KKR & Co. Inc (KKR) Wednesday reaffirmed its intention to acquire CIRCOR International Inc. (CIR).

CIRCOR manufactures products and services for the Industrial Aerospace & Defense markets and had previously received an acquisition proposal from Arcline Investment Management for $57.00 per share.

The proposal is at a premium of around 12 percent to the $51.00 per share price offered by KKR intensifying the bidding battle.

As per KKR, Arcline Investment Management owns a direct competitor of CIRCOR called Fairbanks Morse Defense which presents the risk of antitrust delays or failure to close at the expense of CIRCOR shareholders.

KKR further said that the proposal of Arcline is contingent on obtaining debt financing which creates uncertainty for CIRCOR's shareholders.

KKR has agreed to eliminate third-party financing risk from its transaction by providing a full equity backstop of the transaction. It expects the deal to close in the fourth quarter of 2023.

Currently, shares of KKR are trading at $54.66 down 0.47% on the New York Stock Exchange. Shares of CIRCOR are trading at $53.64 up 4.18%