UPDATE: VF To Buy Timberland For $43 per share, Timberland Shares Surge In Pre-Market Trading

VF Corporation VFC announced its plans to buy Timberland Co TBL for $43 per share. The deal values Timberland at $2 billion. The offer price for Timberland represents a 10% premium to its three-month trading value. The deal has been approved by both companies and is likely to close in the third quarter. The deal is likely to add around $700 million to VF's 2011 revenue. The deal also is likely to add $0.25 per share to VF's earnings this year, and $0.75 per share in 2012. VFC shares dropped 1.50% to close at $91.80 on Friday, while TBL shares jumped 40.88% to $42.25 in pre-market trading. Read more from Benzinga's Company news.