Houlihan Lokey Announces Increase in Tender Offer Price for Outstanding GCA Corporation Shares | Business

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LOS ANGELES – (BUSINESS WIRE) – Sep 9, 2021–

Houlihan Lokey (NYSE: HLI), the global investment bank, today announced that it is raising the price to pay in its takeover bid to acquire GCA Corporation (“GCA”) (TSE: 2174), of 18 per share, for a new total of 1,398 ($ 12.71) per share and a total cash purchase price of approximately 65.9 billion ($ 599.1 million), based on ‘an assumed exchange rate of 110 to $ 1.

Earlier today, GCA announced that it was increasing its consolidated revenue forecast for the year 2021 to 47.5 billion yen ($ 431.8 million). This is a 21.8% increase from its previously announced revenue forecast for the year 2021 of 39.0 billion yen ($ 354.5 million). The announced increase in HLI’s total cash purchase price approximates GCA’s revised forecast increase of its CY 2021 profit.

Houlihan Lokey initiated the takeover bid in Tokyo on August 4, 2021 to acquire all of the outstanding shares of GCA for 1,380 ($ 12.55) per share in cash, in addition to all options to purchase GCA. ‘GCA shares (price net of applicable exercise prices). The new purchase price of 1,398 per share represents a premium of 33.0% over the closing price of August 2, 2021 of 1,051 per share and a premium of 42.2% over the simple average price over three months ended August 2, 2021.

The closing of the tender offer is subject to obtaining certain regulatory approvals and to the offer to Houlihan Lokey of shares representing at least two-thirds of the fully diluted common shares outstanding of GCA. The takeover bid is expected to close on October 4, 2021. Following the success of the takeover bid, it is expected that Houlihan Lokey will acquire all un-tendered shares through a second stage at the same price. . The transaction is expected to be funded by cash on Houlihan Lokey’s balance sheet.

About Houlihan Lokey

Houlihan Lokey (NYSE: HLI) ​​is a global investment bank specializing in mergers and acquisitions, capital markets, financial restructuring and valuation. The firm serves businesses, institutions and governments around the world with offices in the United States, Europe, the Middle East and the Asia-Pacific region. Independent advice and intellectual rigor are hallmarks of the firm’s commitment to the success of its clients in all of its consulting services. Houlihan Lokey has been the senior M&A advisor for six consecutive years in the United States, the world’s leading restructuring advisor for the past seven years, and the world’s leading M&A opinion advisor for the past seven years. Last 20 years, all based on the number of transactions and according to data provided by Refinitiv.

Forward-looking statements

This press release contains forward-looking statements within the meaning of federal securities laws. You can identify these statements by using the words “assume”, “believes”, “believes”, “expects”, “direction”, “intention”, “plans”, “projects” and similar expressions that do not relate to historical questions. You should exercise caution in interpreting and relying on forward-looking statements, as they involve known and unknown risks, uncertainties, and other factors (including the significant effect the COVID-19 pandemic has had on our company and should continue to have on our business), which are, in some cases, beyond the control of Houlihan Lokey and could significantly affect actual results, performance or achievements. For a more detailed description of these factors, you should read the documents filed by Houlihan Lokey with the Securities and Exchange Commission. Because forward-looking statements are inherently subject to risks and uncertainties, some of which cannot be predicted or quantified, you should not rely on such forward-looking statements as predictions of future events. Events and circumstances reflected in our forward-looking statements may not be achieved or will occur, and actual results could differ materially from those projected in the forward-looking statements. Houlihan Lokey assumes no obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.

See the source version on businesswire.com: https://www.businesswire.com/news/home/2021090806200/en/

CONTACT: Investor Relations

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John gallagher

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KEYWORD: UNITED STATES NORTH AMERICA CALIFORNIA

INDUSTRY KEYWORD: FINANCING OF PROFESSIONAL BANKING SERVICES

SOURCE: Houlihan Lokey

Copyright Business Wire 2021.

PUB: 09/09/2021 02:03 AM / DISC: 09/09/2021 02:03 AM

http://www.businesswire.com/news/home/2021090806200/en

Copyright Business Wire 2021.


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