Stalker spotted a sequel to a story first carried in the summer of this year in these pages. The proposed buyout of Sylvan has been carried through. Business news reports from the USA elucidate on the dealings that have taken place.
"SAXONBURG, Pa. - The world's largest seller of mushroom spawn has agreed to a $95 million buyout offer from a group of investors and mushroom industry veterans. Sylvan Inc., which owns a mushroom farm near Tallahassee, Florida, agreed Sunday to the cash and debt offer from a group led by Snyder Associated Companies Inc. and Sylvan President Dennis Zensen. Snyder, a family-owned firm, is a key investor in Creekside Mushrooms in Worthington, Pa., as well as oil, gas and manufacturing firms.
Under the deal, which needs approval from shareholders and regulators, stockholders would receive $12.25 cash per share and the new group would assume as much as $35 million in debt. Company officials said Sylvan hopes to complete the buyout next year.
The deal comes five months after a scuttled $56 million buyout offer from a group that also included Zensen and Snyder. Sylvan, which employs about 850 people in Saxonburg and has a spawning production plant in Kittanning, had $88.2 million in sales and a $4.7 million profit last year. Saxonburg, Pa.-based Sylvan's stock closed at $12.06 Monday 17Nov, up $1.96 cents a share, the highest it has traded this year. "
Mel O'Rourke, who is based in Sylvan in Navan, said that the offer is positive for the company as Snyder have experience in the mushroom industry.
