Q: A rumoured private equity buy out? What will that do for the stock. It’s now at $29….at one point was $130.if it happens, how much of a premium do you see in the stock?
5i Research Answer:
NVEI has confirmed it has had discussions and the stock is up pre-market on Monday. The stock is only 10X earnings and we would be very surprised if management was willing to discuss deals without a huge premium to this, probably in the 40% range. This may bog down discussions depending on how motivated the buyer is. Nothing is official at this time except 'discussions'.