Manufacturer of metal roofing and wall systems Cornerstone Building Brands Inc. (CNR) says that private equity firm Clayton, Dubilier & Rice (CD&R) has presented a proposal to purchase the rest of the company’s equity for $24.65 per share in cash.
Currently, CD&R owns 49% common stake in Cornerstone Building Brands. The share price in the proposal by CD&R represents a 34% share premium of Cornerstone’s common stock.
Following this announcement of February 14, shares of the company increased by over 25% to $23.08 during the pre-market session. Citing data from Refinitiv IBES, Cornerstone has a market valuation of about $2.32 billion.
According to a filing with the Securities and Exchange Commission (SEC), CD&R says in a scenario where the proposal fails to materialize, it’s looking forward to continue being a shareholder in the company.
