Quanex Building Products Corp is offering an additional special dividend of 15p/cash as part of tis bid for fully listed building products supplier Tyman (LON: TYMN). This reflects a reduction in the bid value in recent weeks.
The original Quanex bid was 240p in cash and 0.05715 of a share for each Tyman share. There is also an all-share alternative of 0.14288 of a Quanex share for each Tyman share. This bid was recommended by the Tyman board and the revised offer is also recommended. Tyman shareholders have subsequently received a 9.5p/share final dividend for 2024.
When the original bid was announced the cash and shares bid was valued at 400p/share, but the Quanex share price has declined since then. The price at the time of the original announcement was $34.64 and it has slumped to $28.22. The special dividend would make up some of the reduction in the bid value.
The product ranges appear to be a good fit with a particularly strong presence in North America. Quanex will be able to use Tyman’s international operations as a base to sell its products.
The Tyman share price improved 8p to 358.5p.
