Whirlpool offers $1.37 billion for rival Maytag

[owassoguy]

Iowa-based appliance maker earlier agreed to acquisition offer from Triton

9:38 a.m. ET July 18, 2005
BENTON HARBOR, Mich. - Whirlpool Corp. has offered to buy fellow appliance maker Maytag Corp. for $1.37 billion in cash and stock, topping an earlier offer that Maytag had accepted from an investment group.

Whirlpool said late Sunday that its offer of $17 per share for Newton, Iowa-based Maytag represents a 21 percent premium over the offer from Triton Acquisition Holding Co. Whirlpool would also assume Maytag's debt of $969 million.

Whirlpool planned a conference call Monday morning to discuss the proposal with financial analysts.

Maytag released a statement early Monday saying its directors would consider the new bid from Whirlpool but had not changed their recommendation for the other deal.

On May 19, Maytag agreed to be acquired by Triton, an entity organized by the New York investment company Ripplewood Holdings LLC, for $14 a share, in a deal valued at about $1.13 billion.

But on June 20, Maytag said it was considering a preliminary $1.28 billion bid from Bain Capital, Blackstone Group and China's Haier America that valued Maytag at $16 per share.

Benton Harbor-based Whirlpool said its proposal is subject to investigations and a negotiated merger deal.

Whirlpool is a leading maker and seller of major home appliances, with annual sales of about $13 billion, 68,000 employees and about 50 factories and research centers worldwide.

The company sells Whirlpool, KitchenAid, Brastemp, Bauknecht, Consul and other major brand names in more than 170 countries.

Maytag's brands include Maytag, Amana, Hoover, Jenn-Air and Magic Chef.

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