Arts-and-crafts retailer Michaels announced Wednesday that it has entered into an agreement with Apollo Global Management, taking the company private.
The deal has an equity value of $3.3 billion and a transaction value of $5 billion. Apollo (ticker: APO) will acquire all outstanding shares of Michaels (MIK) stock for $22 per share, a 47% premium to the closing stock price on Feb. 26.
Michaels shares soared 9.5% in premarket trading, and have skyrocketed more than 350% over the past year. The S&P 500 index is up nearly 29% over the last 12 months. The deal is expected to close during the first half of Michaels’ fiscal year.
Michaels will announce fourth-quarter earnings on March 4 before the opening bell, but in light of the agreement, the company will not host an earnings conference call.
Email: [email protected]
