Shares of UGI Corp (NYSE:UGI) rallied Tuesday afternoon following a Wall Street Journal report detailing a takeover bid.
- UGI shares are climbing with conviction. What’s fueling UGI momentum?
WSJ Reports Unsolicited Acquisition Proposal
Private equity giant KKR & Co Inc (NYSE:KKR) submitted an unsolicited proposal to acquire the natural gas and electricity distributor for roughly $9 billion, according to people familiar with the matter, cited by the Wall Street Journal.
The buyout offer values UGI at $42.50 per share. This price tag represents a premium of over 20% compared to the stock’s Monday closing price of $35.09.
The Wall Street Journal highlighted that there are no guarantees UGI will accept the terms or that a final transaction will materialize. Private equity appetite for utility infrastructure has expanded rapidly, driven by rising power demand from data centers and energy grid needs.
UGI Shares Surge Tuesday Afternoon
UGI Price Action: UGI shares closed higher by 9.40% at $38.39 at the time of publication on Tuesday, according to Benzinga Pro data.
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