Widely-held by hedge funds (e.g. Elliott Mgmnt with 52mm shares), aerospace company Arconic has decided to no longer pursue a potential sale of the company. The shares are down over 25% pre-market...
What changed in 4 days?
Jan.18: Arconic Hopes to Finalize Sale to Apollo This Weekend: NY Post
Apollo Global Management is nearing a deal to buy aluminum giant Arconic in a deal valued at roughly $22 a share, or $10.6 billion, The Post has learned.
Jan 22: Arconic no longer pursuing sale of company
we did not receive a proposal for a full-company transaction that we believe would be in the best interests of Arconic’s shareholders
As a reminder, a UK-based unit of Arconic sold construction panels that were blamed for the quick spread of a 2017 fire at Grenfell Tower in London that killed 72 people.
And as the crowd rushes for the exit, the door gets narrower and narrower...crashing the stock to a new record low.
Arconic Inc. (NYSE: ARNC) today announced that its Board of Directors has determined to no longer pursue a potential sale of the company as part of its strategy and portfolio review.
John C. Plant, Chairman of Arconic, said, “Together with management, we have been conducting a rigorous and comprehensive strategy and portfolio review over the past year and as part of that process considered a sale of the company, among other matters. However, we did not receive a proposal for a full-company transaction that we believe would be in the best interests of Arconic’s shareholders and other stakeholders.”
“We will continue with the previously announced sale process for our Building and Construction Systems business. More broadly, we remain strongly focused on creating value for Arconic shareholders, through continued operational improvements and through other potential initiatives which we have identified in our strategic review.”
"Ouch" for many...