Shares of MarineMax (HZO) jumped more than 24% on Monday following a Reuters report that OneWater Marine Inc. (NASDAQ:) is in talks to acquire its larger rival.
Reuters, citing people familiar with the matter, reported that OneWater had made a cash offer for MarineMax at $40 a share. It follows months of private discussions.
Following the Reuters report, OneWater issued a statement saying: “For policy reasons, we do not comment on market rumors or speculation.”
They added: “OneWater has a strong balance sheet and will continue to prioritize prudent capital allocation and maintain appropriate levels of leverage when assessing strategic opportunities, which will enable us to ensure the short, medium and long-term viability of our business. .
“Management and the Board of Directors are extremely focused on preserving and enhancing shareholder value. They are fully aligned with shareholders, given that insiders collectively own 17% of the company’s shares.”
If the deal were to go through, the combined company would reportedly be valued at approximately $2.5 billion, including debt.
Reuters added that a potential deal between the two boat traders could be announced as early as this month, although they cautioned that no final decision had yet been made and it was possible that negotiations could fall apart.
At the time of writing, HZO shares are up more than 25% to $35.63.