The acquirer said that it will pay $10.50 per share, or 33% more on 15 February 2012 closing stock price, for Advance America. Iincluding debt, the transaction is worth at $780m.
The transaction is under way for customary closing conditions, including receipt of regulatory approvals and approvals by Advance America stockholders, and is expected to close in the first half of this year.
Acquisition proposals from third parties may be solicitated by Advance America for a period of 45 days, and subject to the terms of the agreement, may, at any time, respond to an unsolicited proposal that its Board of Directors determines would be reasonably likely to result in a superior proposal.
The acquisition of Advance America, which owns 2,600 locations in 29 US states, the UK and Canada, will enable Elektra to strengthen its market position across these geographies.
Grupo Elektra chairman Ricardo Salinas said the firm is eager to expand its services to the US and to continue meeting the needs of the financially underserved.
The group is already operating across in eight Latin American countries, such as Brazil, El Salvador, Guatemala, Honduras, Panama and Peru.
