Mario Tama
- Johnson & Johnson (NYSE:JNJ) encourages shareholders to decline TRC Capital Investment Corp.’s mini-tender offer for up to 1M shares.
- TRC Capital’s proposal stands at $151.23 per share, whereas J&J shares concluded Thursday at $152.50. On April 2, the day preceding the offer date, shares finished at $157.73.
- The healthcare giant advises shareholders to refuse the unsolicited offer “since it falls below Johnson & Johnson’s current market share price and carries various conditions.”
- J&J (JNJ) highlighted that mini-tender offers target acquiring less than 5% of a company’s total outstanding shares, thereby bypassing SEC disclosures and other regulations.
- “The SEC has alerted investors that certain bidders initiating mini-tender offers at rates lower than market prices are ‘hoping to catch investors off guard in case they fail to compare the offer price with the current market price,'” J&J (JNJ) stated in a press release.