M&A · Industrials · Water, Sewer, Pipeline, Comm & Power Line Construction
New Mountain Capital to acquire Aegion Corp
Announced Feb 16, 2021 · Closed May 17, 2021
Deal value$963MEV $963M
Premium21.0%To unaffected price
EV / Adj. EBITDA14.5x0.9x EV / Revenue
ConsiderationAll cash$26.00 per share
Transaction
- Acquirer
- New Mountain Capital
- Target
- Aegion Corp (AEGN)
- Buyer type
- Private equity
- Offer price per share
- $26.00
- Enterprise value
- $963M
- Status
- Closed May 17, 2021
Deal protections
- Break fee (target pays)
- $40.0M · 4.2%
- Reverse fee (buyer pays)
- $70.0M · 7.3%
- Go-shop
- No-shop
- Financing
- Committed · Jefferies, Credit Suisse, Deutsche Bank
Advisors
- To the acquirer
- Jefferies, Houlihan Lokey
- To the target
- Centerview
Sector context · Industrials
- Comparable deals
- 11 in the prior 24 months
- Premium
- 21.0% vs. 22.0% sector median
- EV / Adj. EBITDA
- 14.5x vs. 9.7x sector median
- Break fee
- 4.2% vs. 2.4% sector median
Timeline
- AnnouncedFeb 16, 2021
- Proxy filedMar 15, 2021
- Definitive proxyApr 1, 2021
- Shareholder voteMay 14, 2021
- ClosedMay 17, 2021
Valuation · fairness opinions
Trading comparables$26.90$35.10
Precedent transactions$18.50$25.60
Discounted cash flow$21.60$29.70
Analyst price targets$16.00$24.00
Offer $26.00
Implied value per Aegion Corp share by analysis, from Centerview · DCF discount rate 10%–11.5%.