VSM Versum Materials Inc

   By Colin Kellaher 
 

Versum Materials Inc. (VSM) and Entegris Inc. (ENTG) on Friday raised their estimates of merger-related savings by $50 million to $125 million as the chemical companies try to fend off a bid for Versum from Germany's Merck KGaA (MRK.XE).

Versum and Entegris, which have agreed to combine in an all-stock deal, said the merger will create a premier specialty materials company with "tremendous upside value-creation potential."

Versum repeated its stance that Merck's unsolicited cash bid of $48 a share isn't a superior proposal.

"The appropriate comparison is not between Merck's proposal and the standalone value of Versum, but rather between selling now to Merck based upon their proposal and remaining invested in the combined Entegris-Versum, with participation in the significant expected value creation," Versum said.

Merck earlier this week said it was committed to pursuing an acquisition of Versum. The German company said its offer is "unquestionably superior," and that the market had already expressed preference for it.

Merck's proposal offered a 16% premium to Versum's pre-bid share price and a nearly 52% premium to Versum's price before the Entegris deal was announced.

Shares of Versum closed Thursday at $48.55, an indication that investors may be expecting more bidding.

Write to Colin Kellaher at colin.kellaher@wsj.com

(END) Dow Jones Newswires

March 08, 2019 09:12 ET (14:12 GMT)

Grafico Azioni Versum Materials (NYSE:VSM)
Storico
Da Giu 2024 a Lug 2024

Grafico Azioni Versum Materials (NYSE:VSM)
Storico
Da Lug 2023 a Lug 2024