Staffing 360 soars as Atlantic to takeover company in $25M deal
seekingalpha
04 Nov 2024
Atlantic International (OTCPK:ATLN) said it will acquire Staffing 360 (NASDAQ:STAF) in a $25M deal.
Shares of STAG soared 125.6% in premarket trade, while ATLN was up 0.4%.
The Staffing 360 shareholders will get 1.202 Atlantic shares for each Staffing 360 share.
Atlantic and Staffing 360 shareholders will own ~ 90% and 10%, respectively, of the combined company on a fully diluted basis.
The deal is expected to close within the next 90 days, and Staffing 360 Solutions (STAF) CEO Brendan Flood will serve as the president of the company.
The combination is expected to create cost efficiencies and decrease Atlantic’s operating expense ratio, leading to improved profitability, and the combined annual revenue is forecasted to be ~$620 million.
The deal is also expected to be highly synergistic, and will result in run-rate cost synergies/savings of ~$10 million.
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