Carlisle Companies made unsolicited takeover offers to Owens Corning, sending shares of the rival construction-products supplier up 9% Monday. Owens Corning has not engaged substantially, and Carlisle is weighing its next move.
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Carlisle pursues Owens Corning as shares jump 9% on bid
Carlisle Companies made unsolicited takeover offers to Owens Corning, sending the rival construction-products supplier's shares up 9% Monday as investors priced in a potential premium.
"Carlisle is contemplating its next move after Owens Corning appears unreceptive so far," the Wall Street Journal reported, citing people familiar with the matter. The construction-products supplier has approached Owens Corning multiple times without securing substantive engagement, according to the report.
Owens Corning shares rose as much as 9% in midday trading Monday, reversing earlier losses, while Carlisle shares fell 5%. The divergent moves reflect investor expectations that any deal would require Carlisle to pay a significant premium to win over Owens Corning's board.
A combination of the two companies would consolidate market share in the US construction-products sector, where both compete in roofing, insulation, and building materials. Neither company has disclosed a proposed price or deal structure, and any transaction would face regulatory review. The lack of engagement from Owens Corning leaves Carlisle weighing whether to raise its offer, take the proposal directly to shareholders, or walk away.
This article is for informational purposes only and does not constitute investment advice.
