RV towing component supplier, Horizon Global will be acquired First Brands Group, LLC.
The deal, expected to be completed during 2023’s first quarter, includes an all-cash offer, which, upon successful closing, will entitle each Horizon Global stockholder to receive a cash consideration of $1.75 per share.
According to Horizon Global, the acquisition will result in a collection of market-leading brands within the automotive industry, serving both OEM and aftermarket channels under one group. The combined group will have improved access to capital enabling the group to focus on serving its broad customer base without interruption.
Horizon Global first announced its interest in selling the business in August 2022. The company said in a strategic review of maximizing shareholder value, selling the business was a consideration.
In late November, Horizon Global appointed John C. Kennedy as interim president after previous president Terrence Gohl resigned from the position.
“The transaction represents the culmination of a thorough review of strategic alternatives announced in August and represents what we believe is the best outcome for our customers, suppliers, shareholders and employees,” Kennedy said about the company sale. “After consideration of a number of different alternatives, the board believes this transaction is the best path forward for shareholders to address Horizon Global’s capital needs while supporting the long-term growth and sustainability of Horizon Global’s business.”
Guy Andrysick, executive vice president of First Brands, said the company looked forward to creating benefits for Horizon Global and First Brands products and brands in the future.
