MTY Food Group Inc. and Papa Murphy's Holdings, Inc. Announce Definitive Merger Agreement
Source Cision Newswire
MTY Food Group Inc. and Papa Murphy's Holdings, Inc. today
announced they have entered into a definitive merger agreement (the
"Merger Agreement") under which MTY would acquire all of the issued and
outstanding shares of common stock of Papa Murphy's for cash
consideration of US$6.45 per share, representing total transaction value of approximately US$190.0 million (C$253.2 million)
(the "Transaction"), including Papa Murphy's net debt outstanding.
purchase price per share of Papa Murphy's common stock implies a premium
of 31.9% to the Papa Murphy's closing price on April 10, 2019 and 46.3% to the unaffected Papa Murphy's closing price on November 7, 2018
prior to the announcement by Papa Murphy's that it was conducting a
process to explore and evaluate strategic alternatives to maximize
shareholder value and had engaged a financial advisor to assist with the
The terms and conditions of the Merger Agreement were
unanimously approved by the boards of directors of both companies.
Transaction is subject to customary closing conditions including receipt
of applicable regulatory approvals.