Why Shares of MoneyGram Are Flying Today
Shares of the long-running payments company MoneyGram International (NASDAQ: MGI) were trading more than 19% higher at 2:02 p.m. ET today after the company announced that it will be acquired by the private equity firm Madison Dearborn Partners.
Madison Dearborn Partners will acquire MoneyGram for $1.8 billion in cash, or roughly $11 per share. Upon closing, the firm will refinance the nearly $800 million of debt that MoneyGram had at the end of 2021. According to the press release, the purchase price represents a roughly 50% premium to MoneyGram's stock price on Dec. 14, the day before rumors about the deal started to circulate in the news media.
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Source Fool.com
