Telvent Agrees To $2B Offer By Schneider Electric

Telvent GIT SA TLVT agreed to be bought for $2 billion by Schneider Electric SA SBGSY. The cash offer by Schneider Electric values the shares of Telvent at $40 each, representing a 36% premium to Telvent's average share price over the past three months. Abengoa ABGOF, the Spanish provider of renewable-energy solutions, agreed to sell its 40% stake in Telvent to Schneider in the deal. Schneider Electric expects to close the deal in the third quarter. The deal has been approved by the board of directors of Telvent. Ignacio Gonzalez Dominguez, Telvent's Chairman and CEO, said: "We see strong complementarities of Telvent's solution offering and that of Schneider Electric, as well as a good cultural fit of people and spirit. We believe that our customers will benefit highly from this combination. With Schneider Electric, Telvent expects to expand its global footprint, especially in the fast growing new economies. We look forward to this next phase of the development of our company." TLVT shares gained 4.11% to close at $34.45 yesterday, SBGSY shares surged 5.71% to close at $16.65 yesterday and ABGOF shares rose 1.68% to close at $30.30 yesterday. Read more from Benzinga's Company news.