TGH - Why Textainer Group Stock Is Soaring Today
2023-10-23 10:58:30 ET
Container lessor Textainer (NYSE: TGH) has agreed to be taken private in a deal that values the company at $7.4 billion. That's well above where the stock was trading on Friday, and as a result Textainer shares are up 44% in Monday trading.
Textainer is one of the largest owners of the rectangular shipping containers that are the primary way goods are shipped around the world. Companies use intermodal containers because they can easily be transferred from ship to rail to truck without costly unpacking, but most shippers lease the containers from companies like Textainer instead of buying their own.
Late Sunday, Textainer said it had agreed to be acquired by private equity fund Stonepeak. Terms of the deal call for Textainer holders to receive $50 per share in cash for each share owned, a significant premium to Friday's $34.15 close.
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Why Textainer Group Stock Is Soaring Today