Shutterfly acquisition news has SFLY stock heading higher on Monday.
The recent news claims that a Shutterfly (NASDAQ:SFLY) acquisition is in the works and Apollo Global Management LLC is looking to purchase the company. Rumors claim that a deal may be announced sometime this week.
We don’t know exactly how much the Shutterfly acquisition news will have the company being bought for. However, some sources close to the matter claim that the offer from Apollo values the company at $2 billion. This doesn’t include SFLY’s $900 million of debt.
The Shutterfly acquisition news comes after the company announced plans to explore its options back in February. It also looks like more than just Apollo has an interest in buying up SFLY, but it has the highest offer so far, reports Reuters.
One of the other bidders in the Shutterfly acquisition news is Cerberus. There’s also a third bidder than hasn’t been named. These are the major groups that are trying to acquire the image publishing company.
Another source speaking about the Shutterfly acquisition news claims to know roughly how much the company will be acquired for. This individual says that the company will be bought for between $55.00 to $57.50 per share.
That range represents a pretty premium for holders of SFLY stock. At the low end it is sitting at roughly 12% above the stock’s closing price on Friday. The high end is about 17% above Friday’s closing price.
SFLY stock was up 7% as of Monday morning.
As of this writing, William White did not hold a position in any of the aforementioned securities.