Barnes Group Wins Apollo Global Report In Talks To Acquire Company By Investing.com

Investing.com — Shares of Barnes Group rose more than 10% in pre-market Friday after a report from Reuters that private equity firm Apollo Global Management (NYSE: ) is in advanced talks to acquire the aerospace parts maker .

Bristol, Conn.-based Barnes Group (NYSE: ) is negotiating to give Apollo exclusivity, which it expects to beat out other buyout firms vying for the company, according to Reuters.

Reuters, citing sources, said the deal could value Barnes at more than $45 a share, with the company’s stock closing around $40 on Thursday.

The Reuters report said that if successful, a deal could be completed in the coming weeks, although they cautioned that negotiations are ongoing and could still fall apart, allowing another bidder to emerge.

Barnes, which was founded in 1857, manufactures components for industries including aerospace, healthcare and electronics.

Its aerospace unit produces parts for commercial and military turbine engines, while its industrial unit develops casting and automation solutions in various sectors.

Barnes has about 5,700 employees at 43 manufacturing locations, according to its website.

The potential acquisition comes after Barnes posted a net loss of $46.8 million in the second quarter of 2024 on revenue of $382.2 million that missed analysts’ expectations. The company’s shares are up about 25% since the start of the year.

The talks with Apollo follow pressure from activist investor Irenic Capital, which took a stake in Barnes in 2022 and pushed for changes to the company’s board and a strategic overhaul.

In March, Barnes reached a cooperative agreement with Irenic, appointing co-founder Adam Katz to its board, Reuters noted.