LEAF - Leaf Group board urges holders to approve Graham's buyout

The board at Leaf Group (LEAF -0.5%) has unanimously recommended that its shareholders approve its acquisition by Graham Holdings (GHC +1.1%). The two in early April entered into a purchase deal for $8.50 per Leaf Group share, or about $323M. And Leaf traded at a premium to that price until the past few days; shares are at $8.46 today. The deal represents "immediate and certain cash value to Leaf Group shareholders," Leaf's board says in a letter. "While the Company has seen significant success in 2020 and the first quarter of 2021 driven by record revenue growth, it continues to face challenges in achieving growth in Adjusted EBITDA," the board continues. "Given the low margins of the Company’s marketplace businesses and the decline in revenue from its Media Group, it is entirely possible that the Company would not meet Wall Street’s EBITDA expectations in 2021 and beyond." It also points

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Leaf Group board urges holders to approve Graham's buyout