M&A · Energy · Natural Gas Distribution
NJ Boardwalk Holdings LLC to acquire South Jersey Industries Inc
Announced Feb 24, 2022 · Closed Feb 1, 2023
Deal value$8.10BEV $8.10B
Premium—To unaffected price
EV / Adj. EBITDA14.3x3.5x EV / Revenue
ConsiderationAll cash$36.00 per share
Transaction
- Acquirer
- NJ Boardwalk Holdings LLC
- Target
- South Jersey Industries Inc
- Buyer type
- Strategic
- Offer price per share
- $36.00
- Enterprise value
- $8.10B
- Status
- Closed Feb 1, 2023
Deal protections
- Break fee (target pays)
- $140M · 1.7%
- Reverse fee (buyer pays)
- $255M · 3.1%
- Go-shop
- No-shop
- Financing
- No financing condition
Advisors
- To the acquirer
- Not disclosed
- To the target
- BofA Securities
Sector context · Energy
- Comparable deals
- 26 in the prior 24 months
- Premium
- Sector median 20.6%
- EV / Adj. EBITDA
- 14.3x vs. 13.3x sector median
- Break fee
- 1.7% vs. 2.6% sector median
Timeline
- AnnouncedFeb 24, 2022
- Proxy filedMar 30, 2022
- Definitive proxyApr 11, 2022
- Shareholder voteMay 10, 2022
- ClosedFeb 1, 2023
Valuation · fairness opinions
Trading comparables$24.25$27.25
Trading comparables$26.75$30.25
Trading comparables$18.50$35.00
Precedent transactions$28.75$38.00
Discounted cash flow$31.75$38.25
Offer $36.00
Implied value per South Jersey Industries Inc share by analysis, from BofA Securities · DCF discount rate 4.5%–5.5%.