Focus Financial Partners Inc. FOCS, +1.03% announced an agreement to be acquired in a cash deal valued at over $7 billion by Clayton, Dubilier & Rice (CD&R) and Stone Point Capital LLC. The wealth management firm’s stock was halted for news, until 8:00 a.m. Eastern. Under terms of the agreement, Focus shareholders will receive $53 in cash for each Focus share they own, which represents a 5.6% premium to Friday’s closing price of $50.20. The per-share bid is also 14.5% above to the Feb. 1 closing price of $46.27, after which Focus announced an acquisition proposal by CD&R. The deal is expected to close in the third quarter of 2023. There will be a 40-day “go-shop” period in which Focus can solicit and consider alternative acquisition proposals. “This transaction represents an important evolution in the resources we will have to invest, enabling us to increase the value we deliver to our partners and their clients,” said Focus Chief Executive Rudy Adolf. Focus shares have soared 34.7% year to date, while the S&P 500 SPX, -1.05% has gained 3.4%.
This article was originally published by Marketwatch.com. Read the original article here.