Shareholders OK Pulte-Centex Merger
Shareholders of both Pulte Homes Inc. and Centex Corp. approved the merger of the two companies on 8/18/09 for a total value of $3.1 billion.
Under terms of the merger agreement, Pulte Homes will acquire all outstanding shares of common stock of Centex in a stock-for-stock transaction valued at $1.3 billiion, plus a net debt of $1.8 billion.
Centex shareholders receive 0.975 shares of Pulte Homes stock in exchange for each Centex share they own. Based on the exchange rate, Pulte shareholders own about 68 percent of the combined company and Centex shareholders own about 32 percent.
The combined company will continue to trade on the New York Stock Exchange under the ticker symbol “PHM.”
It will operate more than 900 communities across 29 states and the District of Columbia under the brands Pulte Homes, Centex and Del Webb.
Effective with the completion of the merger, Timothy Eller, previously Centex’s chairman and CEO, joins the company’s board of directors as vice chairman and will serve as a consultant to the company for two years.
Pulte and Centex currently build throughout Florida, but Centex pulled out of the North Florida market in 2008. Pulte is selling homes in eight communities in Jacksonville and Ponte Vedra, the majority of those in Bartram Park.
Source: Jacksonville Business Journal
Under terms of the merger agreement, Pulte Homes will acquire all outstanding shares of common stock of Centex in a stock-for-stock transaction valued at $1.3 billiion, plus a net debt of $1.8 billion.
Centex shareholders receive 0.975 shares of Pulte Homes stock in exchange for each Centex share they own. Based on the exchange rate, Pulte shareholders own about 68 percent of the combined company and Centex shareholders own about 32 percent.
The combined company will continue to trade on the New York Stock Exchange under the ticker symbol “PHM.”
It will operate more than 900 communities across 29 states and the District of Columbia under the brands Pulte Homes, Centex and Del Webb.
Effective with the completion of the merger, Timothy Eller, previously Centex’s chairman and CEO, joins the company’s board of directors as vice chairman and will serve as a consultant to the company for two years.
Pulte and Centex currently build throughout Florida, but Centex pulled out of the North Florida market in 2008. Pulte is selling homes in eight communities in Jacksonville and Ponte Vedra, the majority of those in Bartram Park.
Source: Jacksonville Business Journal
posted by Will @ 2:35 PM
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