Apollo agrees to take Tenneco private for $7.1 billion

Apollo Global Management Inc.
APO,
-1.51%
said Wednesday it agreed to buy Tenneco Inc.
TEN,
-5.04%
for $20 a share, a 100.4% premium over the stock’s closing price of $9.98 a share on Tuesday. The deal values Lake Forest Ill.-based Tenneco at about $7.1 billion, including debt. The manufacturer of clean air, powertrain and ride performance products and systems said the deal will maximize shareholder value. Apollo partner Michael Reiss is leading the transaction for the private equity firm. Shares of Tenneco rallied 90.3% in premarket trades. Not counting Wednesday’s moves, the stock was down 11.7% so far in 2022, compared to a drop of 9.7% by the S&P 500. Apollo shares are down 12.7% this year.