MELVILLE, USA: Nu Horizons Electronics Corp. announced the signing of a definitive agreement providing for the acquisition of Nu Horizons by Arrow Electronics Inc. in an all-cash transaction in which Nu Horizons shareholders will receive $7 for each share of Nu Horizons common stock they own.
Nu Horizons is a leading global distributor of advanced technology semiconductor, display, illumination and power solutions to a wide variety of commercial original equipment manufacturers and electronic manufacturing services providers.
“This transaction represents an excellent value for Nu Horizons’ shareholders and a compelling opportunity for our employees, customers and suppliers,” stated Martin Kent, CEO and president of Nu Horizons.
“To compete successfully in today’s global marketplace, size and scale are very important. We are pleased to become part of a leading global company with enhanced resources. Arrow’s world-class operational capabilities and supply chain will enable Nu Horizons to continue to deliver industry-leading value to our customers."
Under the terms of the agreement, which has been approved by both boards of directors, Nu Horizons shareholders will receive $7 per share in cash for Nu Horizons common stock. This represents a significant premium for Nu Horizons shareholders based on the closing stock price of Nu Horizons on September 17, 2010.
The transaction is subject to the approval of shareholders of Nu Horizons as well as customary closing conditions and regulatory approvals. The companies expect the transaction to close in the fourth quarter of 2010.
Houlihan Lokey acted as exclusive financial advisor and Farrell Fritz, P.C. LLP acted as legal counsel to Nu Horizons.