Shares of Lufkin Industries stock (LUFK) surged over 37% today making the stock the highest gainer (by percentage points) on the Nasdaq. Stock investors scambled to buy up the company’s shares after news broke that General Electric plans to acquire LUFK at a deal worth $3.1 billion.
As part of the deal, GE will pay "Lufkin shareholders $88.50 per share, a 38 percent premium over Lufkin's closing price on Friday of $63.93". The deal is valued at $3.1 ($3.3 billion minus $200 million in debt that will be taken over by GE).
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MarketConsensus Stock Analysis Team