McDermott and Chicago Bridge & Iron to combine in transaction valued at $6 billionStaff Writer | December 19, 2017
McDermott International and Chicago Bridge & Iron Company (CB&I) announced that the companies have agreed to combine in an all-stock transaction.
Merger The business combination agreement
Under the terms of the business combination agreement (BCA), CB&I shareholders will be entitled to receive 2.47221 shares of McDermott common stock for each share of CB&I common stock owned (or 0.82407 shares if McDermott effects a planned three-to-one reverse stock split prior to closing), subject to any withholding taxes.
The estimated enterprise value of the transaction is approximately $6 billion, based on the closing share price of McDermott on December 15, 2017. ■