Story first appeared in the Boston Business Journal.
CSC ServiceWorks announced Tuesday it has entered an agreement to acquire Mac-Gray, a provider of laundry facilities management services for multi-family and academic housing, for $524 million cash. A Commercial Real Estate Attorney Boston is watching the story closely.
CSC is acquiring Mac-Gray (NYSE: TUC) for $21.25 per share, a 42 percent premium over the Waltham, Mass., company's Monday closing price, and folding it into its wholly owned subsidiary, CSC Fenway Inc., which is part of CSC's Spin Holdco Inc. subsidiary. The companies announced the deal in a news release, Tuesday morning.
Based in Plainview, N.Y., CSC also provides laundry services to multi-family housing and commercial clients, as well as air-pump vending services at convenience stores and gas stations.
"After a careful and thorough evaluation process, the Mac-Gray board has determined that the all-cash transaction with CSC maximizes value for our shareholders," Mac-Gray Chairman Thomas Bullock said in a statement. "The Board strongly believes that this transaction achieves that result, providing a significant premium for our shareholders."
Founded in 1927, Mac-Gray had 2012 revenue of $322.1 million.
The merger is expected to close in the first half of 2014.
