(Bloomberg) — R.R. Donnelley & Sons Co., the printing and information services company, said it received a non-binding offer from a strategic party that valued it higher just days after it agreed to be bought by Chatham Asset Management LLC.
The Chicago-based business got an unsolicited bid at $11 a share, Donnelley said in a statement late Wednesday, without identifying the party. That compares with the $10.85 a share offered by Chatham in a deal that ended a two-month bidding war with Atlas Holdings.
R.R. Donnelley Accepts Chatham Bid, Ending Two-Month Saga
“At this time, the board has not determined that the strategic party proposal constitutes a superior proposal, and there can be no assurances that a transaction will result from the strategic party proposal or that any alternative transaction will be entered into or consummated,” according to the statement.
Donnelley reaffirmed its recommendation of the Chatham merger agreement.
Chatham is Donnelley’s largest shareholder, with 15% of the stock, according to data compiled by Bloomberg. It also holds a substantial amount of its debt.
Donnelley, which was founded in 1864, is a global provider of business services such as printing, packaging and direct mail. The company said it has roughly 30,000 clients and 33,000 employees across 28 countries. Net income last year came to $98.5 million on sales of $4.8 billion.
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