180 Degree Capital (TURN) shares were up over 7% in recent Friday trading after the company said it struck a deal to merge with Mount Logan Capital in an all-stock deal at an estimated $139 million pro forma enterprise value at closing.
Under the agreement, shareholders will receive newly issued shares of the merged entity based on the ratio of the net asset value per share of 180 Degree Capital relative to the $67.4 million valuation of Mount Logan at signing, according to the statement.
Based on Jan. 15 valuation, the estimated pro forma post-merger shareholder ownership would be about 40% for current 180 Degree Capital shareholders and 60% for current Mount Logan shareholders, the company said.
Following deal completion, each of 180 Degree Capital and Mount Logan will become subsidiaries of New Mount Logan, which will be listed on Nasdaq under the symbol MLCI, according to the statement.
The company said it expects to complete the merger in mid-2025.
Price: 4.00, Change: +0.29, Percent Change: +7.82
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