Blackstone Group LP (BX) is nearing a deal to invest more than $800 million into ATM and cash dispenser maker NCR Corp. (NCR), the Wall Street Journal reported citing people familiar with the matter.
The private-equity firm now plans to announce a deal as soon as Thursday to make the minority equity investment in NCR. NCR also plans to announce a $1 billion share buyback, the report said.
Blackstone is expected to receive convertible preferred shares that pay a dividend and two board seats in exchange for the investment.
According to report, the New York buyout firm will end up with an ownership stake in NCR exceeding 15%. The preferred shares are convertible to regular stock at $30.
It is possible that the deal could fall apart at the last minute.
NCR closed Wednesday trading at $26.78, up $0.07 or 0.26%. In after hours, the stock further gained up $0.73 or 2.73%.
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