Home
Global Supplier Directory
APPLIANCE Engineer
Supplier Solutions
APPLIANCE Line
Whitepaper Library
Calendar of Events
Association Locator
Contents Pages
Market Research
Subscription Center


 
Daily News

Whirlpool Proposes to Acquire Maytag
Jul 18, 2005
 Printable format
 Email this Article
 Search

Whirlpool Corporation announced that it has made a proposal to acquire Maytag Corporation for U.S. $17 per Maytag share, representing a 21-percent premium over the price offered by Triton Acquisition Holding in their current agreement with Maytag.

The transaction is valued at $2.3 billion in cash and stock, based on Whirlpool assuming $969 of Maytag debt. Whirlpool's proposal is subject to the satisfactory completion of due diligence and negotiation of a mutually acceptable definitive merger agreement.

"This transaction will provide Maytag shareholders with superior value compared to the current offer," said Jeff M. Fettig, Whirlpool's chairman, president and CEO. "Equally important, the combination fits Whirlpool's strategy and capabilities, will create strong value for our shareholders and provide direct benefits to consumers and trade customers."

According to a statement from Maytag, the company said its board of directors would consider the proposal and that it has not changed its recommendation of the existing transaction.

"As you know, we operate in a highly competitive marketplace where trade customers and consumers have a large and growing choice of brands, products, and suppliers, including a growing number of foreign appliance companies," Mr. Fettig said in the proposal letter to Maytag.

"Together we can achieve substantial efficiencies that will deliver cost savings, increased innovation and better asset utilization," Mr. Fettig continued. "With these efficiencies, and Whirlpool's track record of -- and commitment to -- investing in innovation, quality, and customer service, our combined company will be well positioned to offer great value to consumers and to trade customers. And as part of Whirlpool, we can ensure that Maytag remains a trusted brand for years to come."

According to Whirlpool, its proposal represents a "Company Takeover Proposal" and the company is prepared to execute a confidentiality agreement prior to the August 19, 2005 deadline Maytag set for its shareholders meeting.

"We and our advisors also are ready to immediately negotiate a definitive merger agreement with you. We anticipate that our agreement will be based substantially on your existing merger agreement with Triton," Mr. Fettig said in the letter.

On May 19, Maytag agreed to be acquired by Triton, organized by investment company Ripplewood Holdings LLC, for $14 a share, in a deal valued at about $1.13 billion.

However, on June 20, Maytag said it was considering a preliminary $1.28 billion bid from Bain Capital, Blackstone Group, and China-based appliance maker Haier America, which valued Maytag at $16 per share.

Back to Daily News

 

Daily News

...........................................................

Oct 30, 2014: Whirlpool Corp. reports strong third-quarter

Oct 30, 2014: Statistical Portrait of the European Appliance Industry Released by Appliance Magazine

Oct 30, 2014: New Whirlpool acquisition Indesit reports profit for year so far

Oct 30, 2014: Consumer Confidence Index rebounds in October

Oct 29, 2014: New home sales up slightly in September 2014

More Daily News>>

RSS Feeds
.........................................................
Appliance Industry
Market Research

...........................................................

October 2014: Portrait of the European Appliance Industry
September 2014: Appliance Industry Focus: HVAC
June 2014: Appliance Magazine Market Insight: April 2014
May 2014: Appliance Magazine Market Insight: March 2014




 
Contact Us | About Us | Subscriptions | Advertising | Home
UBM Canon © 2014  

Please visit these other UBM Canon sites

UBM Canon Corporate | Design News | Test & Measurement World | Packaging Digest | EDN | Qmed | Plastics Today | Powder Bulk Solids | Canon Trade Shows