M2 Capital Partners (UK) Limited (M2 Capital, M2C or the Firm), an Anglo-Canadian private equity/investment firm, announced it commenced a tender offer for 100% of the outstanding shares of global automotive OEM aluminum wheel supplier Superior Industries International, Inc. on November 11, 2022.
The offer was for US$5,85 per Superior share – which represents a 40% premium – over the last six months average share price (USD4,18 per share), according to M2 Capital. The Offer is a 36% premium to the closing price of US$4,29 per share on Thursday November 10, 2022.
“This is a highly efficient transaction that will deliver meaningful benefits to all of the stakeholders and positions the Company well for future growth,” said Robert Mantse, chairman, M2 Capital. “The acquisition immediately establishes M2 Capital as a leading global supplier of aluminum wheels. This is a remarkable opportunity for Superior and M2 Capital stakeholders.”
M2’s strategic rationale for the transaction:
1. Creates one of the largest private global providers of aluminum wheels for the automotive OEM market – with a diversified customer base and geographic reach. As a private company, Superior management will be able to focus on long-term strategic goals, versus a public company’s short-term focus, according to M2 Capital.
2. Leverages global manufacturing capacity of the business, creating a platform for further investment to design and manufacture the most innovative products for Superior’s customers.
Completion of the tender offer, which is subject to the condition that at least 51% of the outstanding Superior shares are tendered, is expected to be in the first quarter of 2023. The aggregate equity purchase price, assuming all outstanding shares are tendered, is anticipated to be close to US$160 million, according to M2 Capital.
