Breaking news in the pet care industry – Rover Group, Inc. has been snapped up by private equity funds managed by Blackstone Inc. in a deal valued at a whopping $2.3 billion. The stock’s performance is off the charts today, soaring 28.8% to $10.95 in the market.
Under the terms of the acquisition, Rover stockholders are set to receive a scrumptious $11.00 per share, marking a 61% premium over the volume weighted average share price of the last 90 trading days as of November 28, 2023. It’s like finding a pot of gold at the end of a rainbow.
Blackstone Inc. is optimistic about the potential for Rover’s growth, given the increasing emphasis pet owners are placing on top-notch care, flexibility, and convenience. This marks the start of a paw-some new phase for Rover.
Rover’s platform has facilitated over 93 million services, connecting millions of pet parents with pet care providers across North America and Europe. That’s enough to fill an entire stadium, but with wagging tails and wet noses instead of cheering fans.
But hold your horses! The deal includes a 30-day “go-shop” period, allowing Rover to field other offers that may come sniffing around. It’s like giving Rover a chance to find an even bigger bone out there.
The acquisition is projected to close in 1Q24, after which Rover will prance into a new chapter as a privately held company, but it’ll continue to operate under its well-loved brand. That’s right, it’s the same Rover, just with a new owner holding onto the leash.
Price Action: ROVR shares are trading higher by 28.8% at $10.95 and BX by 3.00% at $110.87 on the last check Wednesday.
Disclaimer: This content was partially produced with the help of AI tools and was Reviewed And Published By Benzinga Editors.