Icahn Wins $2.6 Billion Oil Refiner Bid

Billionaire investor plans to sell company within 60 days

   

Icahn Wins $2.6 Billion Oil Refiner Bid

Carl Icahn will become the majority owner of CVR Energy (NYSE:CVI) after most shareholders accepted his $30 a share offer.

CVR’s board of directors had advised against the sale, saying the offer under-valued the company’s assets, but opted against a poison pill defense.

Icahn 106352500 200x200 Icahn Wins $2.6 Billion Oil Refiner Bid
Should You Bet on the Icahn-CVR Bout?

The company, which operates refineries in Kansas and Oklahoma, posted a $25.2 million loss during the first quarter. During the same period in 2011, it reported a profit of $45.8 million. However, adjusted EPS beat analysts’ forecasts by 9 cents, Bloomberg noted.

The billionaire investor now control a 69% stake in CVR.

Icahn plans to sell the company within 60 days. Shareholders might see as much as $7 in additional payments per share, if he completes a sale.

CVR shares were up more than 1% in Monday mid-day trading, just above $30.

The company’s shares have rise more than 60% in 2012.


Article printed from InvestorPlace Media, http://investorplace.com/2012/05/icahn-wins-2-6-billion-oil-refiner-bid/.

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