Kohlberg Kravis Roberts agreed on Friday to buy Gardner Denver for $3.9 billion, ending a monthslong sales process for the maker of industrial equipment like blowers and compressors.
Under the terms of the deal, K.K.R. will pay $76 a share, a 3 percent premium to Gardner Denver’s closing price on Thursday. The offer is also 39 percent higher than the company’s stock price on Oct. 24, the day before the industrial equipment company said it was exploring a sale of itself.
The purchase price includes the assumption of Gardner Denver’s debt.
“After a thorough review of strategic alternatives to enhance shareholder value, we are pleased to provide our shareholders with immediate and substantial cash value representing a significant premium to our unaffected share price,†Michael M. Laren, Gardner Denver’s chief executive, said in a statement.
The offer follows a prolonged sales process for Gardner Denver, which had solicited a number of potential buyers had been solicited since putting itself up for sale in October.
The deal will be financed by UBS, Barclays, Citigroup, Deutsche Bank, RBC Capital Markets, Mizuho Corporate Bank and K.K.R.’s own capital markets arm.
Gardner Denve! r was advised by Goldman Sachs and the law firm Skadden, Arps, Slate, Meagher & Flom.
K.K.R. was advised by UBS, Simmons & Company and the law firm Simpson Thacher & Bartlett.
