Michaels Companies (MIK)

[eastunder]

Conflicting reports

https://www.thestreet.com/investing/michaels-in-5-billion-go-private-deal-with-apollo-global?puc=yahoo&cm_ven=YAHOO

Michaels Agree $5 Billion 'Go-Private' Deal With Apollo Global
Michaels said it will become a private company, and de-list its stock from the Nasdaq, once its $5 billion takeover from Apollo Global is completed.

MARTIN BACCARDAX
39 MINUTES AGO

Michaels Companies Inc. (MIK) - Get Report shares jumped higher Wednesday after the arts and crafts retailer agreed to a $5 billion takeover by private equity group Apollo Global Management.

Michaels said Apollo will pay $25 a share for the group, placing its equity value at $3.3 billion. Apollo will fund the deal through a combination of debt and financing and existing funds, the company said. Michaels also said the deal, which includes a 'go-shop' period of 25 days, will eventually see the retailer become a public company, with its shares ultimately de-listed from the Nasdaq.

“Our Michaels strategy and the work that we have done in the past year have led to phenomenal business results, strengthened our core business and positioned Michaels for long-term sustainable growth,” said CEO Ashley Buchanan. “We are excited to enter into this new chapter together with Apollo, who shares our strategic vision for Michaels as an omnichannel retailer that offers a one-stop-shop experience for the entire Michaels community. As a private company, we will have financial flexibility to invest in, expand, and improve our retail and digital platforms.”

Michaels shares were marked 9.9% higher in pre-market trading Wednesday to indicate an opening bell price of $19.80 each, a move that would more than double the stock's gain over the past six months.

"Michaels is the go-to-destination in arts and crafts for the deepest breadth of assortment with best-in-class customer service," said Apollo Global's head of retail and consumer Andrew Jhawar. "We believe there is a significant opportunity to enhance the Michaels brand, store experience and omnichannel offering to its customers across North America."

"Our team at Apollo expects to leverage many of the strategies from our funds’ successful investments in other specialty retailers and grocers with Michaels," he added.