By Lisa Kerner
Charlotte, N.C., Oct. 20 - Adecco SA will acquire MPS Group, Inc. for $13.80 per share in a cash transaction valued at approximately $1.3 billion, according to an MPS news release.
The per-share offer price is a 24% premium to MPS' closing stock price on Monday and a 27% premium over its average closing stock price during the last 30 calendar days, MPS said.
MPS' board of directors has approved the deal, which is expected to close in the first quarter of 2010 subject to shareholder approval.
There is no financing contingency as Adecco will fund the transaction using current cash resources and existing financing capabilities, the release said.
A $45 million breakup fee is included as part of the merger agreement, according to a form 8-K filed with the Securities and Exchange Commission.
Adecco is a Zurich-based human resources solutions company.
MPS, a Jacksonville, Fla., staffing company, was advised by Bank of America Merrill Lynch.
| Acquirer: | Adecco SA
|
| Target: | MPS Group, Inc.
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| Announcement date: | Oct. 20
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| Transaction total: | $1.3 billion
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| Price per share: | $13.80
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| Termination fee: | $45 million
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| Expected closing: | First quarter of 2010
|
| Stock price for target: | NYSE: MPS: $11.14 on Oct. 19
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