Agiliti Acquisition Sparks 29% Share Price Surge

Agiliti saw a significant increase in its shares by 29%, reaching $9.87, following the announcement that a private equity firm affiliated with Thomas H. Lee Partners, its majority shareholder, will be taking the company private in a deal worth $2.5 billion.

Positive Market Response

Despite hitting a low of $5.07 in the past year, marking a 48% decrease, the company's shares experienced a notable boost from the acquisition news.

Acquisition Details

The deal entails the acquisition of all outstanding Agiliti shares not currently held by Thomas H. Lee and its affiliates for $10.00 per share in cash, representing a 39% premium over the 30-day volume weighted average price per share.

Privatization Process

Anticipated to be finalized in the first half of 2024, the transaction received approval from THL Agiliti LLC as the majority shareholder, obviating the need for additional shareholder consent. Following the completion of the deal, Agiliti will transition into a private entity, ceasing its listing on the New York Stock Exchange.

Forward-Looking Plans

With the impending privatization, Agiliti communicated that it will forego the customary conference call typically held to discuss financial results for the fourth quarter and full year of 2023.