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What: Shares of Oshkosh Corp. (NYSE:OSK) jumped as much as 16.4% mid-day after Carl Icahn make a bid for the company.
So what: Icahn has stated his intention to offer $32.50 per share in cash in a tender offer for control of the company. Management has issued a statement saying that it would advise shareholders within 10 days of the offer.
Now what: Icahn is unhappy with the company's management, and has been unsuccessful in forcing change, so he's making a bid for the whole company. What happens from here is anybody's guess, but Icahn has a long history of making deals like this happen. I wouldn't bet against him today, and I may even be interested in buying shares at the current price below $30 to capture the upside of the tender. I'm not sure there's additional upside beyond that, but I think the downside risk is relatively low.
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Fool contributor Travis Hoium has no positions in the stocks mentioned above. You can follow Travis on Twitter at @FlushDrawFool, check out his personal stock holdings or follow his CAPS picks at TMFFlushDraw.
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