Grupo Soma Signs Agreement to Buy Cia Hering

SAO PAULO,  Grupo Soma and Cia Hering announced on Monday that they closed an association agreement through which Cia Hering will be merged into Grupo Soma.

According to relevant facts issued by both, the shareholders of Cia Hering will receive 1 common share and 1 PN of the new company for each share they currently hold.

The sum group will pay 9.630957 reais in cash and 1.625107 common share for each share of Cia Hering.

The companies assumed an exclusive commitment, the non-compliance of which provides for the payment of a fine of 250 million reais.

The dispute for Hering seems to have come to an end: this Monday (26th), Grupo Soma (owner of brands such as Animale and Farm) announced an agreement that provides for the purchase of the retailer for about R $ 5.1 billion, leaving the other interested, Arezzo, behind.

Hering shareholders (HGTX3) will receive one common and one preferred share of the new company for each share they currently hold. As a result, Grupo Soma (SOMA3) will spend approximately R $ 1.5 billion in cash and R $ 3.6 billion in shares in the transaction.