RTTNews | Apr 19, 2021 10:18AM EDT

10:17 Monday, April 19, 2021 (RTTNews.com) - Shares of Knoll Inc. (KNL) are surging over 30% on Monday morning after office-furniture maker Herman Miller Inc. (MLHR) announced it has agreed to buy rival Knoll for $1.8 billion in a cash and stock deal.

KNL is currently trading at $22.86, up $5.63 or 32.68%, on the Nasdaq.

Herman Miller will pay Knoll shareholders $11.00 in cash and 0.32 shares of Herman Miller stock for each share of Knoll common stock they own. This imply a purchase price of $25.06 per share.

Herman Miller shareholders will own around 78% of the combined company and Knoll shareholders will own the rest 22%.

The companies expects to see the merger generating $100 million of run-rate cost savings within two years of closing. The deal is expected to close by by the end of the third quarter.

Read the original article on RTTNews ( https://www.rttnews.com/3186051/stock-alert-knoll-surges-30-as-herman-miller-agrees-to-buy-the-co-for-1-8-bln.aspx)

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