TEN - Tenneco sale to Apollo good read through for ICE-leveraged peers Dana BorgWarner

Tenneco's announced $20/share sale to private equity firm Apollo Global (NYSE:APO) reads well for ICE-leveraged peers Dana Inc. (NYSE:DAN) and BorgWarner Inc. (NYSE:BWA), according to a Wells Fargo analyst. The deal also follows Cummins (NYSE:CMI) deal to purchase Meritor Inc. (NYSE:MTOR) on Monday for a total value of about $3.7B. "This goes to show that ICE assets still carry tremendous value in the short- to midterm as cash-generative assets," Wells Fargo analyst Colin Langan, who has an overweight rating on Tenneco and a $22 price target, wrote in a note. The all-cash transaction for Tenneco will have an enterprise valuation of approximately $7.1B, inclusive of debt. The deal price of marks a 100.4% premium over Tenneco's closing share price of $9.98 on Monday. Dana (DAN) shares fell 6.3%, while BorgWarner (BWA) rose 1.6%. Earlier, Dana GAAP EPS of $0.18 misses by $0.08, revenue of $2.27B beats by $90M; initiates FY22 guidance. Recall Monday,

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Tenneco sale to Apollo good read through for ICE-leveraged peers Dana, BorgWarner