L.S. Starrett Co to become private in $16.19 per share pact with MiddleGround

L.S. Starrett announced that it has entered into a definitive merger agreement in a go-private transaction with an affiliate of MiddleGround Capital in an all-cash transaction for $16.19 per share. The purchase price represents an approximately 63% premium to the closing stock price of the company’s stock on March 8, the last trading day prior to announcing the transaction. The proposed transaction has been approved by the Starrett board of directors. MiddleGround intends to fund the transaction with a combination of cash from MiddleGround Partners III, L.P. and committed financing, which is not subject to any contingency. The transaction is expected to close in mid-2024, subject to the requisite approval by Starrett’s shareholders and other conditions to closing. Following completion of the transaction, Starrett will become a wholly owned subsidiary of MiddleGround and Starrett’s Class A common stock will no longer be listed on any public market.