NEW YORK (AP) — Laundry-management company Mac-Gray Corp. is being acquired for about $332 million by rival CSC ServiceWorks.
Mac-Gray said CSC ServiceWorks will pay $21.25 per share, a 42.3 percent premium to the latest closing price of Mac-Gray shares. Mac-Gray said its board has approved the sale and it expects the deal to close during the first half of 2014.
CSC ServiceWorks provides multi-family housing and commercial laundry services.
The companies valued the deal at $524 million including stock options, restricted stock and debt. According to a Securities and Exchange Commission filing, Mac-Gray had $192 million in long term debt and lease obligations at the end of the second quarter.
Mac-Gray is based in Waltham, Mass., and its revenue grew 1 percent to $162.1 million over the first half of 2013. The company had 14.7 million shares on the market as of Aug. 5.
Shares of Mac-Gray climbed $6.07, or 40.7 percent, to $21.00 in morning trading. That tops in previous 52-week high of $15.61 set last July.