By Kimberly Chin
Steel Excel Inc. iGo Inc. by purchasing a substantial part of the company’s shares from other stockholders. is planning to acquire.
Steel Accel, iGo’s largest shareholder, has agreed to purchase one share from other iGo stockholders for $5.50 each in cash. After the stock purchase agreements, Steel Accel will hold over 90% stake in Iago.
Steel Accel expects to merge with iGo next week under a short-form merger, a type of deal whereby an acquiring company merges with a subsidiary it largely owns. Such a merger does not require a stockholder vote or meeting.
All shares that Steel Accel did not hold prior to the merger would be converted into a right to receive $5.50 per share in cash. Following the merger, iGo Steel will become a wholly owned subsidiary of Accel.
Through its Casco subsidiary, iGo provides metal blade products that are used in the meat cutting, food cutting and wood cutting industries.
Steel Accel Holding Company is a subsidiary of Steel Partners Holdings LP.
Write to Kimberly Chin at [email protected]