What happened
Shares of Navigant Consulting (NCI +0.00%) jumped 16.7% on Friday, after the company said it would be acquired.
So what
Navigant agreed to be acquired by Guidehouse, a management consulting company backed by New York-based private equity firm Veritas Capital, for $1.1 billion.
"Following a review of strategic alternatives, including soliciting offers from a diverse group of potential strategic and financial partners, Navigant's Board unanimously agreed that a sale to Guidehouse is in the best interest of Navigant shareholders, delivering immediate and certain value at an attractive premium," Navigant Chairman and CEO Julie Howard said in a press release.
Navigant Consulting agreed to a merger with Guidehouse. Image source: Getty Images.
Now what
The deal is subject to shareholder and regulatory approval. If approved, Navigant shareholders will receive $28 per share in cash for each Navigant share they own upon closing of the merger. The transaction is expected to close in the fourth quarter of 2019.
"Guidehouse and Navigant are both leaders in their markets today, and this combination creates a new, highly differentiated platform with capabilities and expertise in both commercial and public sector consulting," Veritas Capital CEO Ramzi Musallam said. "We look forward to the next chapter of growth as the new organization goes out to market as one entity with combined expertise and scale."
