M&A · Energy · Petroleum Refining
Balmoral Funds, LLC to acquire Trecora Resources
Announced May 12, 2022 · Closed Jun 27, 2022
Deal value$247MEV $247M
Premium29.9%To unaffected price
EV / Adj. EBITDA11.3x0.9x EV / Revenue
ConsiderationAll cash$9.81 per share
Transaction
- Acquirer
- Balmoral Funds, LLC
- Target
- Trecora Resources
- Buyer type
- Strategic
- Offer price per share
- $9.81
- Enterprise value
- $247M
- Status
- Closed Jun 27, 2022
Deal protections
- Break fee (target pays)
- $9.4M · 3.8%
- Reverse fee (buyer pays)
- $10.7M · 4.3%
- Go-shop
- No-shop
- Financing
- Committed · BofA Securities
Advisors
- To the acquirer
- Piper Sandler
- To the target
- Guggenheim
- Guggenheim fee
- $6.5M
Sector context · Energy
- Comparable deals
- 31 in the prior 24 months
- Premium
- 29.9% vs. 31.1% sector median
- EV / Adj. EBITDA
- 11.3x vs. 12.8x sector median
- Break fee
- 3.8% vs. 2.6% sector median
Timeline
- AnnouncedMay 12, 2022
- Tender offerMay 25, 2022
- ClosedJun 27, 2022
Valuation · fairness opinions
Discounted cash flow$6.62$8.57
Trading comparables$4.37$11.99
Trading comparables$5.81$12.82
Trading comparables$1.49$4.16
Trading comparables$3.34$6.64
Offer $9.81
Implied value per Trecora Resources share by analysis, from Guggenheim.