SGGKY Singapore Tech Engineering Ltd (PK)

By Dave Sebastian

Cubic Corp. said it has received an unsolicited proposal from Singapore Technologies Engineering for $76 a share in cash, after the company agreed to combine with affiliates of Veritas Capital and Elliott Investment Management LP last month.

ST Engineering's offer values Cubic at $2.41 billion based on Cubic's 31.75 million shares outstanding, according to FactSet. The Veritas and Elliott affiliates had agreed to pay $70 a share in cash and assume Cubic's debt in the deal.

Cubic said it has determined ST Engineering's proposal is or would reasonably be expected to lead to a superior proposal over the deal it had agreed to. ST Engineering proposed that after the acquisition of all Cubic's outstanding stock, ST Engineering would sell Cubic's CMPS business to an affiliate of Blackstone Tactical Opportunities.

Cubic said it continues to recommend that shareholders vote in favor of the Veritas and Elliott deal, though the company will also engage with ST Engineering.

Write to Dave Sebastian at dave.sebastian@wsj.com

(END) Dow Jones Newswires

March 22, 2021 08:34 ET (12:34 GMT)

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