Industrials | Corporate Finance Advisory

Methode Completes Recapitalization

  • Methode Electronics, Inc. (NASDAQ: METH), a component manufacturer with a market value of $475 million, formed a special board committee to consider the repurchase of its Class B shares
  • TM Capital was retained by the committee and assisted in reaching an agreement to repurchase the Class B shares, which comprise 3% of outstanding shares but elect 75% of the board of directors
  • Dura Automotive Systems, Inc. (NASDAQ: DRRA) launched a challenging tender offer to acquire the Class B shares
  • A revised agreement was then reached whereby Methode repurchased all Class B shares at an average price of $23 per share, or $25 million in aggregate; Dura’s tender offer was terminated thereafter
  • TM Capital provided fairness opinions to the special committee in connection with the repurchase and the Dura offer

See Press Release

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