Latest News
Fairpointe Capital Supports Chicago Bridge and Iron Merger with McDermott
Monday 16 April 2018

16 April 2018 - US-based investment advisor Fairpointe Capital LLC supports the proposed merger of US-based engineering, procurement and construction company Chicago Bridge and Iron (NYSE: CBI) and McDermott International (NYSE: MDR) and will vote in favour of the transaction at the upcoming shareholder meetings on 2 May, the firm said.

Fairpointe Capital has voting control of 5.9% of the outstanding shares of McDermott International and 5.9% of the outstanding shares of Chicago Bridge and Iron.

Fairpointe has determined that the merger of these two companies is in the best interests of the shareholders of both companies.

According to Fairpoint, McDermott management has demonstrated ability to manage complex projects and Chicago Bridge and Iron has a strong record of engineering and construction expertise.

The combination of these two businesses creates a worldwide competitor with industry-leading onshore-offshore integration capabilities.

Fairpointe Capital is an independent, registered investment advisor, which is majority women-owned. Total assets under management as of December 31, 2017 were USD 5.4bn.

The firm manages separate accounts for institutional investors and sub-advises the AMG Managers Fairpointe ESG Fund (AFFEX), the AMG Managers Fairpointe Mid Cap Fund (ABMIX) and the Parvest Equity USA Mid Cap Fund (available to non-US investors).
Details
Date Published: 16/04/2018
Target: Chicago Bridge and Iron
Country: USA
Deal Size: 1.86bn (USD)
Sector: Construction/Real Estate
Type: Merger
Financing:
Status: Agreed
Vendor:
Buyer: McDermott International
Comment:
Fairpointe Capital supports deal. The firm has voting control of 5.9% of the outstanding shares of McDermott International and 5.9% of the outstanding shares of Chicago Bridge and Iron

Options