Filed under: Forecasts, Deals, Competitive strategy, United Technologies (UTX), Initial public offerings
Maker of Otis elevators and Chubb security systems, United Technologies Corp. (NYSE: UTX), announced Sunday that it had made an unsolicited $2.63 billion offer for Diebold Inc. (NYSE: DBD). Diebold is one of the largest makers of automated teller machines and voting machines, and United Tech’s move comes as a part of its plan to extend its security business and presence in China.
United Technologies announced it first approached Diebold about a possible deal two years ago but nothing had materialized thus far. United Tech announced that its current bid amounts to $40 a share, a 66% premium to Diebold’s closing price of $24.12 on Friday. The company also said a it may increase its offer if it is sees more detailed information.
George David, United Technologies’ chairman and chief executive, stated that the “transaction creates significant and immediate value for Diebold shareholders with no operational risk, while creating long term value for UTC shareholders.”
Continue reading United Technologies offers $2.63 billion for Diebold
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