Reusable shopping bags are displayed beneath a checkout counter at a Michaels craft store in Cincinnati, Ohio.
Luke Sharrett | Bloomberg | Getty Images
Arts and crafts retailer Michaels Companies said Wednesday it agreed to be bought by the private equity firm Apollo Global Management in a deal valued at $5 billion.
Apollo will acquire all outstanding Michaels stock for $22 per share. That represents a 47% premium to the closing price on Friday, the day before speculation of the deal was publicized in the media. The equity value of the deal is $3.3 billion.
Michaels said the terms of the deal were unanimously approved by its board.
Michaels shares soared more than 9% in premarket trading. Its stock is up more than 366% over the past 12 months, as of Tuesday’s market close. Michaels has a market cap of $2.66 billion.
Read the full press release here.
This story is developing. Please check back for updates.
