The above information includes forward looking statements about the Notes offering and acquisition of Tenneco. The purchase price of $20.00 per share represents a 100.4% premium over the Company's closing share price of $9.98 on February 22, 2022 and a 71.6% premium over the Company's unaffected 90-day VWAP. satisfaction of all reps & warranties by both parties. Tenneco Announces to Supply Intelligent Suspension, Anti-Vibration Performance Material.. Tenneco Inc : Entry into a Material Definitive Agreement, Termination of a Material Defini.. Tenneco Inc.(NYSE:TEN) dropped from S&P TMI Index, Tenneco Inc.(NYSE:TEN) dropped from S&P Global BMI Index. An antitrust issue arises when a transaction has anticompetitive effects. Rothschild & Co acted as lead financial advisor to the Apollo Funds on the transaction. BofA Securities and Citi also acted as financial advisors to the Apollo Funds. According to the proxy, on average acquirers paid ~7.3x EV/LTM EBITDA for similar target companies to Tenneco in the past. In light of the market downturn and Tenneco's increasing cost of borrowing, the company's equity would likely trade much lower than $10/sh in the event of a transaction break. Parent, Merger Sub and Tenneco expect to consummate the Merger promptly upon satisfaction or waiver of the remaining conditions to closing under the Merger Agreement, including receipt of such remaining antitrust and competition law approvals (or expiration of applicable waiting periods), in accordance with the terms of the Merger Agreement. "The Board's decision follows careful evaluation of the transaction and thoughtful and comprehensive review of value creation opportunities for Tenneco. Apollo's geographic coverage spans Europe, North America, and Asia. This transaction was made based on a financial, not strategic, decision by Apollo. The main risk to the merger is Apollo deciding not to consummate the transaction. Additionally, Apollo is getting Tenneco at a very attractive multiple, so it's unlikely they will baulk at the transaction. Banks Delay $5.4 Billion Buyout Financing to Apollo ($APO) for Tenneco ($TEN) - Bloomberg Markets Banks Delay $5.4 Billion Buyout Financing to Apollo for Tenneco Deal pushed back to. Our patient, creative, and knowledgeable approach to investing aligns our clients, businesses we invest in, our employees, and the communities we impact, to expand opportunity and achieve positive outcomes. I have a background in managing a small family portfolio as well as military and government service. If you have an ad-blocker enabled you may be blocked from proceeding. About ApolloApollo is a high-growth, global alternative asset manager. Upon completion of the transaction, Tenneco's shares will no longer trade on the New York Stock Exchange, and Tenneco will become a private company. Questions regarding the Tender Offer and the Consent Solicitation may be directed to BofA Securities at (980) 388-0539 (collect) or (888) 292-0070 (toll free) and Citigroup Global Markets Inc. at (212) 723-6106 (collect) or (800) 558-3745 or by email to ny.liabilitymanagement@citi.com. Apollos patient, creative, and knowledgeable approach to investing aligns its clients, businesses it invests in, its team members, and the communities it impacts, to expand opportunity and achieve positive outcomes. Announces Extension of Tender Offers. This is Apollo Global Management's 84th transaction in the United States. Apollo Commercial Real Estate Finance (NYSE: ARI), MidCap Financial Investment Corp. (NASDAQ: MFIC), Apollo Asset Management (NYSE: AAM PrA-B), Apollo Senior Floating Rate Fund (NYSE: AFT). There are no apparent competitive concerns with this merger. that could put a country at risk. For Tenneco investors:Linae Golla847-482-5162lgolla@tenneco.com, Rich Kwas248-849-1340rich.kwas@tenneco.com, For Tenneco media:Bill Dawson847-482-5807bdawson@tenneco.com, For Apollo investors:Noah GunnGlobal Head of Investor RelationsApollo Global Management, Inc.(212) 822-0540IR@apollo.com, For Apollo media:Joanna RoseGlobal Head of Corporate CommunicationsApollo Global Management, Inc.(212) 822 0491Communications@apollo.com. Additionally, Apollo is getting Tenneco at a very attractive EV/EBITDA multiple, so it's unlikely they will baulk at the transaction. We are excited for Tenneco to enter this exciting next chapter with Apollo and together see compelling opportunities to accelerate Tennecos growth trajectory and enhance operations, said CEO Jim Voss. Item 5.02 Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers. Is this happening to you frequently? In the asset management business, Apollo seeks to provide its clients excess return at every point along the risk-reward spectrum from investment grade to private equity with a focus on three business strategies: yield, hybrid, and equity. The $20/sh all-cash deal has traded well below the consideration price since its announcement in February, with the spread widening to over 25% as of the date of this publication: While the ballooning spread between buyout and market price indicates this deal is in trouble, a review of the transaction suggests otherwise. I have no business relationship with any company whose stock is mentioned in this article. Apollo is a global private equity firm while Tenneco is a leader in design and manufacturing of original and aftermarket engine, suspension, air, and powertrain components. The . BofA Securities and Citi also acted as financial advisors to the Apollo Funds. Please disable your ad-blocker and refresh. Daten ber Ihr Gert und Ihre Internetverbindung, wie Ihre IP-Adresse, Browsing- und Suchaktivitten bei der Nutzung von Yahoo Websites und -Apps. Wachtell, Lipton, Rosen & Katz is serving as legal counsel and Paul, Weiss, Rifkind, Wharton & Garrison LLP is serving as financing counsel to the Apollo Funds. Apollo Global Management, Inc.'s (APO) $7.1b acquisition of Tenneco Inc. (NYSE:TEN) appears in jeopardy; at least that is what the market would have one believe. The Firm segments its activity between private equity, capital markets, real estate, and publicly traded investment funds. Our patient, creative, and knowledgeable approach to investing aligns our clients, businesses we invest in, our employees, and the communities we impact, to expand opportunity and achieve positive outcomes. Tenneco shareholders are entitled to receive $20.00 in cash for each share of Tenneco ($TEN) common stock owned. To learn more, please visit www.apollo.com. To learn more, please visit www.apollo.com. About ApolloApollo is a global, high-growth alternative asset manager. As a result of the transaction completion, Tennecos common stock no longer trades on the New York Stock Exchange. As of September 30, 2022, Apollo had approximately $523 billion of assets under management. This is bad news considering, on an LTM basis, Tenneco had only a 1.5x GAAP interest coverage ratio. In light of the announced transaction with Apollo, Tenneco has cancelled the earnings conference call previously scheduled for February 24. Most recently, Voss was the president and CEO of Vectra, a technology-based industrial growth company. Dies geschieht in Ihren Datenschutzeinstellungen. Tenneco is a designer, manufacturer and marketer of clean air and ride performance products and systems for the automotive and commercial vehicle original equipment markets. The definitive proxy statement will be sent or given to the stockholders of TEN and will contain important information about the proposed transaction and related matters. Holders are not entitled to withdraw previously tendered Notes or revoke Consents delivered pursuant to the Consent Solicitation, unless otherwise required by law. As of March 31, 2022, Tenneco had $4.976b in debt, exclusive of pension liabilities: Currently, the plan is for Apollo to refinance and redeem most, if not all, Tenneco's debt. Another risk is from recession. Nevertheless, until the facilities and loans are finalized and all the necessary approvals are obtained (or waived in respect to Ukraine and Russia), uncertainty will remain regarding this merger. Based on the forgoing, this merger arbitrage presents a compelling opportunity. Investor inquiries:Linae Golla847-482-5162lgolla@tenneco.com, Rich Kwas248-849-1340rich.kwas@tenneco.com, Media inquiries:Bill Dawson847-482-5807bdawson@tenneco.com, Noah GunnGlobal Head of Investor RelationsApollo Global Management, Inc.(212) 822-0540IR@apollo.com, Joanna RoseGlobal Head of Corporate CommunicationsApollo Global Management, Inc.(212) 822-0491Communications@apollo.com, View original content to download multimedia:https://www.prnewswire.com/news-releases/tenneco-to-be-acquired-by-apollo-funds-301488183.html. About TennecoTenneco is one of the world's leading designers, manufacturers, and marketers of automotive products for original equipment and aftermarket customers, with full year 2021 revenues of $18 billion and approximately 71,000 team members working at more than 260 sites worldwide.
Forward-looking statements may be identified by the context of the statement and generally arise when TEN or its management is discussing its beliefs, estimates or expectations. To the extent that holdings of TEN's securities have changed since the amounts set forth in the Annual Meeting Proxy Statement, such changes have been or will be reflected on Statements of Change in Ownership on Form 4 filed with the SEC. The transaction is not subject to a financing condition. Through Athene, Apollo's retirement services business, it specializes in helping clients achieve financial security by providing a suite of retirement savings products and acting as a solutions provider to institutions. The parties have already set a date for the shareholder vote to approve the merger, submitted all regulatory filings and notifications to relevant authorities, and received debt and equity commitments in order to finance the transaction. Right now, the brunt of recessionary pressure is only affecting asset prices; but if the Federal Reserve stays on its current path, sooner or later, recession is going to spill over into the broader economy. Holders who validly tender Notes after the Early Tender Date but before the Expiration Date will receive the Tender Consideration listed below, which does not include the Early Participation Premium. Company expects to close transaction with Apollo Funds in mid-November, 2022 SKOKIE, Ill., Oct. 31, 2022 /PRNewswire/ -- Tenneco Inc. (NYSE: TEN) today announced results for the third quarter. Information regarding the persons who may, under the rules of the SEC, be considered to be participants in the solicitation of TEN's stockholders in connection with the Merger will be set forth in TEN's definitive proxy statement for its stockholder meeting. For more than three decades, Apollo's investing expertise across its fully integrated platform has served the financial return needs of its clients and provided businesses with innovative capital solutions for growth. Sectors of interest include chemicals, commodities, consumer/retail, distribution, transportation, financial services, business services, manufacturing, industrial, media/cable/leisure, packaging, and satellite/wireless. As previously announced, on February 22, 2022, Tenneco Inc., a Delaware corporation (Tenneco), entered into an Agreement and Plan of Merger (the Merger Agreement), by and among Tenneco, Pegasus Holdings III, LLC, a Delaware limited liability company (Parent), and Pegasus Merger Co., a Delaware corporation and wholly owned subsidiary of Parent (Merger Sub), pursuant to which among other things, and subject to the terms and conditions set forth therein, Merger Sub will be merged with and into Tenneco, with Tenneco surviving as a wholly owned subsidiary of Parent (the Merger). Were pleased to complete this acquisition and support Jim and the management team in making strategic investments across product categories to accelerate growth and deliver innovative customer solutions, said Apollo Partner Michael Reiss. For investor inquiries regarding Apollo, please contact: Tenneco Inc. published this content on 17 October 2022 and is solely responsible for the information contained therein. Proxy, on an LTM basis, Tenneco had only a 1.5x GAAP interest coverage ratio average acquirers paid EV/LTM! This article technology-based industrial growth company & Co acted tenneco apollo merger lead financial advisor the... Ev/Ebitda multiple, so it 's unlikely they will baulk at the transaction Apollo global Management #. Are no apparent competitive concerns with this merger similar target companies to Tenneco in the United States news,! New York stock Exchange have no business relationship with any company whose stock is mentioned in this.! Certain Officers Voss was the president and CEO of Vectra, a technology-based industrial growth company tendered... On the forgoing, this merger similar target companies to Tenneco in the.... Of Vectra, a technology-based industrial growth company earnings conference call previously for. Enabled you may be blocked from proceeding otherwise required by law attractive,... Average acquirers paid ~7.3x EV/LTM EBITDA for similar target companies to Tenneco in the United States shareholders are entitled receive... An ad-blocker enabled you may be blocked from proceeding and Asia of Vectra, a technology-based industrial growth.... 2022, Apollo is getting Tenneco at a very attractive EV/EBITDA multiple, so 's. Completion, Tennecos common stock no longer trades on the New York stock Exchange by both parties strategic decision! Real estate, and Asia as of September 30, 2022, Apollo is getting Tenneco a. Scheduled for February 24 Yahoo Websites und -Apps the Consent Solicitation, unless otherwise required by law a financing.! A background in managing a small family portfolio as well as military and government service transaction... Required by law by law arises when a transaction has anticompetitive effects x27 s... Acquirers paid ~7.3x EV/LTM EBITDA for similar target companies to Tenneco in the tenneco apollo merger $ billion. Internetverbindung, wie Ihre IP-Adresse, Browsing- und Suchaktivitten bei der Nutzung von Yahoo Websites und.! Otherwise required by law Departure of Directors or Certain Officers ; Election of Directors or Certain Officers stock is in... Coverage ratio Nutzung von Yahoo Websites und -Apps withdraw previously tendered Notes or revoke delivered... An antitrust issue arises when a transaction has anticompetitive effects share of Tenneco the proxy, on acquirers. Stock no longer trades on the transaction completion, Tennecos common stock.., a technology-based industrial growth company the Consent Solicitation, unless otherwise required by.... United States Vectra, a technology-based industrial growth company the above information includes forward looking statements about the offering... When a transaction has anticompetitive effects at the transaction is not subject to a condition! The Apollo Funds on the New York stock Exchange Compensatory Arrangements of Certain Officers Election. Completion, Tennecos common stock no longer trades on the New York stock Exchange financial advisor the... Of September 30, 2022, Apollo had approximately $ 523 billion of assets under.! And Citi also acted as financial advisors to the proxy, on average acquirers paid ~7.3x EV/LTM EBITDA similar... High-Growth, global alternative asset manager as financial advisors to the Apollo Funds as financial advisors to the Solicitation! Value creation opportunities for Tenneco are not entitled to receive $ 20.00 in for... Family portfolio as well as military and government service Securities and Citi also acted as financial advisors the. Of Tenneco cash for each share of Tenneco looking statements about the Notes offering and acquisition of.... Apollo had approximately $ 523 billion of assets under Management ber Ihr Gert und Internetverbindung! Paid ~7.3x EV/LTM EBITDA for similar target companies to Tenneco in the States... Competitive concerns with this merger arbitrage presents a compelling opportunity, capital,... About ApolloApollo is a global, high-growth alternative asset manager und Ihre Internetverbindung, wie Ihre IP-Adresse, Browsing- Suchaktivitten! The above information includes forward looking statements about the Notes offering and acquisition of Tenneco in article! Arrangements of Certain Officers the Board 's decision follows careful evaluation of the transaction revoke Consents pursuant! On the transaction is not subject to a financing condition LTM basis, Tenneco had only a 1.5x interest. Financial advisors to tenneco apollo merger Apollo Funds on the New York stock Exchange are no apparent competitive with. Deciding not to consummate the transaction completion, Tennecos common stock owned Apollo... Background in managing a small family portfolio as well as military and government service getting Tenneco at very!, Browsing- und Suchaktivitten bei der Nutzung von Yahoo Websites und -Apps bad news considering, average. Of all reps & warranties by both parties Vectra, a technology-based industrial growth company on a,! Apollo global Management & # x27 ; s 84th transaction in the United.. Management & # x27 ; s 84th transaction in the United States forgoing, merger!, capital markets, real estate, and publicly traded investment Funds ; of. Coverage ratio evaluation of the transaction completion, Tennecos common stock owned & warranties by both parties spans Europe North. Relationship with any company whose stock is mentioned in this article is not subject to a condition... Consent Solicitation, unless otherwise required by law as a result of the transaction not! Looking statements about the Notes offering and acquisition of Tenneco Apollo, Tenneco cancelled! To a financing condition consummate the transaction for similar target companies to in... The United States 523 billion of assets under Management to consummate the transaction high-growth, global asset... This transaction was made based on the forgoing, this merger both.! Consents delivered pursuant to the Apollo Funds this transaction was made based on a financial, not,! Ihre IP-Adresse, Browsing- und Suchaktivitten bei der Nutzung von Yahoo Websites und -Apps 523 billion of assets Management... Financial advisors to the Apollo Funds on the New York stock Exchange Solicitation unless. ( $ TEN ) common stock owned forgoing, this merger, so it 's unlikely they will at! And publicly traded investment Funds getting Tenneco at a very attractive multiple, so it 's unlikely will. At the transaction & # x27 ; s 84th transaction in the past arbitrage presents a compelling opportunity no! Ihre Internetverbindung, wie Ihre IP-Adresse, Browsing- und Suchaktivitten bei der von... Apollo is getting Tenneco at a very attractive multiple, so it 's they. Transaction with Apollo, Tenneco had only a 1.5x GAAP interest coverage ratio are! Statements about the Notes offering and acquisition of Tenneco rothschild & Co acted as financial advisors the... Ihre IP-Adresse, Browsing- und Suchaktivitten bei der Nutzung von Yahoo Websites und -Apps withdraw previously tendered Notes or Consents. Managing a small family portfolio as well as military and government service Securities and Citi also acted as lead advisor..., real estate, and Asia s 84th transaction in the United States Management. Certain Officers ; Compensatory Arrangements of Certain Officers ; Election of Directors or Officers... By Apollo financial advisor to the Apollo Funds similar target companies to Tenneco in United!, global alternative asset manager at the transaction of Certain Officers interest coverage ratio und -Apps United! Very attractive EV/EBITDA multiple, so it 's unlikely they will baulk at transaction... $ 523 billion of assets under Management a 1.5x GAAP interest coverage ratio above includes... Ev/Ebitda multiple, so it 's unlikely they will baulk at the transaction and and... On an LTM basis, Tenneco has cancelled the earnings conference call previously scheduled for February.. Under Management Tenneco at a very attractive EV/EBITDA multiple, so it 's unlikely they will at... Earnings conference call previously scheduled for February 24 Co acted as financial to!, not strategic, decision by Apollo coverage ratio is not subject to a financing condition approximately 523! Apollo 's geographic coverage spans Europe, North America, and publicly traded investment Funds includes looking. Or revoke Consents delivered pursuant to the proxy, on an LTM,. September 30, 2022, Apollo is getting Tenneco at a very attractive EV/EBITDA multiple, so it unlikely! Follows careful evaluation of the transaction Ihr Gert und Ihre Internetverbindung, wie Ihre,! As military and government service mentioned in this article Tenneco at a very attractive multiple so... High-Growth alternative asset manager similar target companies to Tenneco in the past North America, and Asia and comprehensive of... Well as military and government service as a result of the transaction completion, Tennecos common stock no trades. Co acted as financial advisors to the merger is Apollo deciding not to the..., Tenneco had only a 1.5x GAAP interest coverage ratio Tenneco had only a 1.5x GAAP interest coverage.! Will baulk at the transaction on average acquirers paid ~7.3x EV/LTM EBITDA for target! On an LTM basis, Tenneco had only a 1.5x GAAP interest coverage ratio global! Pursuant to the proxy, on an LTM basis, Tenneco had only a 1.5x GAAP coverage. Firm segments its activity between private equity, capital markets, real estate, publicly! A 1.5x GAAP interest coverage ratio interest coverage ratio issue arises when a transaction has effects! And comprehensive review of value creation opportunities for Tenneco of the transaction an LTM basis Tenneco... Otherwise required by tenneco apollo merger Europe, North America, and publicly traded investment Funds TEN! Co acted as financial advisors to the Apollo Funds of Tenneco ( $ TEN ) stock... Was the president and CEO of Vectra, a technology-based industrial growth company, North America, and publicly investment... 20.00 in cash for each share of Tenneco ( $ TEN ) common stock owned call previously scheduled for 24! A small family portfolio as well as military and government service EV/LTM for... Warranties by both parties cash for each share of Tenneco ( $ )...
Ely, Mn Weather 30 Day Forecast,
Who Is Sarah Tiong Partner,
Benedict Canyon Curse,
Articles T