X
Breaking

Sotheby's, the 275-year-old auction house, is getting acquired by billionaire media mogul Patrick Drahi

Business Insider | Jun 17, 2019, 08.32PM IST

Sothebys (40 of 58)

Harrison Jacobs/Business Insider

  • Sotheby's shares spiked nearly 60% Monday after the auction house said BidFair USA, owned by the Altice founder Patrick Drahi, was acquiring it for $3.7 billion.
  • The price tag marks a hefty 61% premium to Sotheby's closing price the session prior.
  • The acquisition is the second notable deal under Drahi this spring. In late April, Altice USA said it was buying the financial news video startup Cheddar.
  • Track Sotheby's stock price here in real time.

Sold!

Shares of Sotheby's spiked nearly 60% Monday after the New York auction house said BidFair USA - an entity owned by Patrick Drahi, the billionaire founder of telecommunications group Altice - was acquiring it for $3.7 billion.

BidFair USA agreed to acquire Sotheby's at $57 per share, representing a 61% premium to the stock's Friday closing price.

The deal, which is expected to close in the fourth quarter of this year pending shareholder approval, would return Sotheby's to the private market after 31 years as a public company.

A bonus just for you: Click here to claim 30 days of access to Business Insider PRIME

"The time is right" for the 275-year-old Sotheby's to return to private ownership, Domenico De Sole, the chairman of Sotheby's board, said in a statement.

The acquisition marks the second notable deal under Drahi this spring. Altice USA, of which Drahi is the chairman, said in April it was buying the financial news video startup Cheddar.

Prior to Monday's announcement, Sotheby's shares had fallen 39% over the previous year, badly underperforming the broader market. Its stock is the oldest listed on the New York Stock Exchange.

The boutique advisory firm LionTree is serving as financial advisor to Sotheby's on the deal, while BNP Paribas and Morgan Stanley are acting as financial advisors to BidFair USA.

Now read more markets coverage from Markets Insider and Business Insider:

A growing chorus of Wall Street heavyweights is sounding the alarm on regulatory pressures surrounding America's biggest tech juggernauts

Array BioPharma spikes more than 50% after Pfizer shells out $11 billion for the cancer-drug developer

An under-the-radar market signal just crossed a crucial threshold. Here's how you can profit from the surprising shift.

Sotheby's shares.

Markets Insider

NOW WATCH: New York City is getting even more infested with rats. Here's why cities can't get rid of them.

Add Comment
Keep scrolling for next story

Here's why a UBS economist's 'Chinese pig' comment may have been offensive to Mandarin speakers

Loading next story
Copyright © 2015 Bennett, Coleman & Co. Ltd.
All rights reserved.