Dole a step closer to going private
Dole a step closer to going private
David H. Murdock, chairman and chief executive officer of Dole Food Co., signed a definitive merger agreement with the company to acquire for cash all of the outstanding shares of Dole common stock not currently beneficially held by him.
Under the terms of the merger agreement, Dole stockholders will receive $13.50 in cash for each share of Dole common stock that they hold, in a transaction that places the total value of Dole at approximately $1.6 billion.
This price represents an increase of $1.50 per share from the original proposal Murdock delivered to Dole on June 10 and a premium of 32 percent over the $10.20 per share price of the stock immediately prior to such proposal.
The transaction is subject to a number of conditions, including approval by at least a majority of the outstanding shares of common stock held by stockholders of Dole other than Mr. Murdock and his affiliates.
The merger agreement provides for a "go-shop" period of 30 days, during which a special committee will actively solicit, receive, evaluate and potentially enter into negotiations with parties that offer alternative proposals. The transaction is expected to close during the fourth quarter of 2013.
