Navistar (NYSE:NAV) news for Friday concerning a takeover offer for the commercial truck company has NAV stock taking off.
According to a Navistar news release, the company has received an unsolicited takeover offer from Traton, which is a subsidiary of Volkswagen. The offer values the company at $35 per share for NAV stock.
An offer of $35 per share for NAV stock is nothing to sneeze at. The company’s stock was trading at $24.07 when the markets closed on Thursday. This places the offer from Traton at a 45.41% premium over that closing price.
When taking into account how many outstanding shares of NAV stock there are, the offer from Traton reaches a total of $2.90 billion. While that may seem like a sweet deal, a larger offer may be in order. NAV stock closed out the day on Friday above the $35 per share offer at $36.76, reports Yahoo Finance.
The Navistar news release says that the company’s Board of Directors will be going over the offer with legal and financial advisors. However, there’s no guarantee that a deal will take place. It also points out that shareholders of NAV stock don’t need to take any type of action at this time.
Navistar notes that it won’t be making any additional comments about the offer until it deems it necessary.
NAV stock was up 52.01% when the markets closed on Friday. The stock is also up 1.04% in after-hours trading.
As of this writing, William White did not hold a position in any of the aforementioned securities.