NEW YORK (AP) - Shares of lighting manufacturers gained ground Monday after
Genlyte Group Inc. agreed to be bought out by Royal Philips Electronics NV for
$2.7 billion, or $95.50 per share.
The buyout is a 52.4 percent premium to Genlyte's Friday closing price, and
the stock climbed $31.85, or 50.9 percent, to $94.52. Shares of the Louisville,
Ky., company reached an all-time high of $94.63 earlier in the session.
While analysts did not predict other buyouts in the sector, Peter Lisnic of
Robert W. Baird & Co. said the market is improving for companies that make
lighting fixtures for businesses.
"Growth in U.S. nonresidential construction has turned positive after a
protracted decline, and we believe the outlook for growth remains positive over
the next several quarters," he said.
Elsewhere in the sector, shares of Acuity Brands Inc. rose $2.58, or 7.3
percent, to $38.06.
Cooper Industries Ltd. gained $2.12, or 4.5 percent, to $49.65.
U.S. shares of ABB Ltd., which is based in Switzerland, rose 63 cents, or
2.3 percent, to $27.78.
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