IAA - IAA STOCK NEWS

IAA, Inc. announces that its stockholders have approved the merger agreement with Ritchie Bros. Auctioneers, allowing for a stock and cash acquisition. The expected deal will see IAA stockholders receiving $12.80 per share and 0.5252 shares of Ritchie Bros. for each IAA share owned. Upon completion, IAA stockholders will hold about 37.2% of the combined entity while Ritchie Bros. stockholders will own approximately 62.8%. Both companies secured necessary approvals, marking a significant step forward in the merger process. J.P. Morgan Securities LLC is advising IAA on the transaction.

On March 14, 2023, Ritchie Bros. shareholders approved the acquisition of IAA, Inc., marking a significant step towards enhancing Ritchie Bros.' strategy of creating a premier global marketplace. CEO Ann Fandozzi expressed gratitude to shareholders for their support, highlighting the potential for value creation through this merger. The company emphasized its commitment to delivering strong returns for investors and leveraging the combined strengths of both organizations to improve customer success.

Ritchie Bros. (NYSE: RBA) has announced its acquisition of IAA, Inc. (NYSE: IAA), emphasizing the substantial growth achieved under its current management. The company asserts that IAA is a crucial step in their transformation into a digital marketplace, promising future profitability and shareholder value enhancement. This merger aims to expand Ritchie Bros.' capabilities and services, integrating IAA's strengths to create a robust global platform. The leadership is confident about this strategic direction, highlighting ongoing integration planning and strong customer support for the merger.

Luxor Capital Group, managing 4.7 million shares of Ritchie Bros. Auctioneers (RBA), urges shareholders to revoke proxies supporting the IAA merger. Co-founders Ritchie and Cmolik warn that the merger could harm RBA’s business, risking customer loss and disrupting corporate culture. The upcoming vote is closely contested, and despite the proxy deadline, shareholders can still change their votes. Luxor emphasizes the importance of stopping the IAA merger to safeguard long-term value. They provide contact information for assistance in revoking proxies and read further about the merger's risks.

On March 13, 2023, David E Ritchie and C Russell Cmolik, co-founders of Ritchie Bros, expressed serious concerns regarding the proposed merger with IAA, Inc. (NYSE: IAA). They argue the merger could undermine Ritchie Bros' corporate culture and customer focus, risking the company's legacy. The authors encourage shareholders to revoke their votes in favor of the merger ahead of the March 14, 2023, meeting, pointing to declining business conditions at IAA that could divert management's attention from Ritchie Bros' core operations. They stress the importance of preserving the company's employee and customer-centric approach rather than pursuing this merger.

Luxor Capital Group announced preliminary results indicating that approximately 46% of votes cast by Ritchie Bros. shareholders opposed the merger with IAA, totaling around 43 million shares. This outcome was highlighted during a special meeting held on March 14, 2023. Luxor expressed disappointment over the merger's rejection but acknowledged the engagement of Ritchie Bros. shareholders. They also thanked proxy advisory firms ISS and Glass Lewis for their evaluations. Luxor holds about 4.7 million shares in Ritchie Bros., representing approximately 4.2% of the company's outstanding shares.

Luxor Capital Group urges shareholders of Ritchie Bros. Auctioneers (NYSE: RBA) to vote against the proposed merger with IAA, Inc. (NYSE: IAA) by March 9, 2023. Representing about 4.2% of RBA's shares, Luxor highlights significant risks associated with the merger, particularly detrimental impacts on shareholder value and concerns raised by leading proxy advisory firms, ISS and Glass Lewis. Both firms emphasize that RBA's standalone potential outweighs the merger's perceived benefits, citing unexpected costs and integration challenges. The letter criticizes the management's credibility and decision-making regarding the merger, asserting that it could be value destructive.

Ritchie Bros. (NYSE: RBA) is urging shareholders to vote in favor of the proposed acquisition of IAA, Inc. (NYSE: IAA) at the upcoming Special Meeting on March 14, 2023. The board, along with proxy advisory firm Egan-Jones, endorses the transaction, highlighting potential EBITDA increases of $350 million to $900 million, translating to an estimated $76 per share in additional value. This acquisition will more than double Ritchie Bros.' gross transaction value, enabling enhanced customer offerings and deeper market penetration. Additionally, an anticipated cumulative free cash flow of $2.5 billion from 2023 to 2026 is projected, providing financial flexibility for future growth.

Ritchie Bros. Auctioneers (NYSE: RBA) received strong support from its shareholders, including Vontobel Asset Management, which holds 2.15% of RBA shares, for its acquisition of IAA, Inc. (NYSE: IAA). This backing aligns with positive sentiment from industry analysts regarding the potential synergies and benefits of the merger. The stock price of Ritchie Bros. has risen since the acquisition announcement, showcasing market optimism. A Special Meeting is scheduled for March 14, 2023, where shareholders will vote on proposals related to the acquisition. Ritchie Bros. emphasizes a commitment to delivering shareholder value through effective integration and growth strategies.