CNH takes Raven under its wingRaven Industries soars 50% on acquisition news - CNH Industrial is buying the company in a deal worth $2.1 billion.
Raven Industries has agreed to an acquisition by fellow agriculture equipment manufacturer CNH Industrial, for an enterprise value of $2.1 billion or $58 per share – which is an impressive premium on Raven’s Friday closing price of $38.62 and a 33.6% premium to its 4-week volume-weighted average stock price. Raven Industries is a leader in precision agricultural technology, and the London-based CNH is planning on using Raven’s assets to build its agriculture business.
Raven has been a pioneer in precision agriculture for decades. The combination of Raven’s technologies and CNH Industrial’s strong current and new product portfolio will provide our customers with novel, connected technologies, allowing them to be more productive and efficient,
CNH CEO Scott Wine said in the statement.
The company is expecting around $400 million in revenue synergies from the deal by 2025, as well as an extra $150 million in EBITA.