Hardinge Inc. to be acquired by Privet Fund Management

Hardinge Inc. has announced it will be acquired by an affiliate of Privet Fund Management LLC. Total transaction value of approximately $245 million. Hardinge is a manufacturer of CNC machine tools developed for hard-to-machine metal parts and a producer of workholding accessories.

Under the terms of the agreement, Privet will acquire all shares of Hardinge common stock not currently owned by Privet for $18.50 in cash, for a total transaction value of approximately $245 million. The purchase price represents a premium of 12.1% over the closing price of $16.50 on November 1, 2017, the last unaffected trading day prior to the public announcement by Privet that it was evaluating a potential transaction to acquire Hardinge, and represents a 26.7% premium over the unaffected volume weighted average price for the three-month period ending on November 1, 2017. The purchase price also represents a premium of 8.3% over the closing price on February 12, 2018.

The agreement was negotiated and unanimously recommended to the Hardinge board of directors by the Strategic Alternatives Committee (‘the Committee’) of the board, which consisted solely of independent directors and was formed to evaluate strategic alternatives, including this potential transaction. Affiliates of Privet currently own approximately 10.46% of the outstanding shares of Hardinge common stock and have agreed to vote their shares in favour of the proposed transaction.

“We are pleased to have successfully negotiated a transaction at this robust point in the business cycle that we believe is in the best interests of the shareholders. The Committee, with the assistance of our financial and legal advisors, carefully analysed Privet’s offer and came to this conclusion after thorough consideration and extensive negotiation. The transaction provides significant value and liquidity for our shareholders, as well as continuity and opportunities for future growth for our employees, and a full opportunity to market test the price in a rigorous go-shop process,” said Christopher DiSantis, Chairman of Hardinge and the Committee.

Additional information about Hardinge Inc. can be found on its website: www.hardinge.com

For more information contact F & H Machine Tools on TEL: 011 397 4050 or visit www.fhmt.co.za