NEW YORK (AP) -- Shares of KSW Inc. jumped Monday after the heating, ventilating and air conditioning company announced that it would be acquired by Related Cos., a privately owned real estate developer in New York, for roughly $32.1 million.
A subsidiary of Related Companies will pay $5 per share through a cash tender offer. This price represents a premium of roughly 23 percent to the company's closing price on Friday. KSW said the agreement has been unanimously approved by its board of directors.
KSW said it has a long and successful relationship with Related Cos. through work on projects in New York. The company's said the deal delivers significant value to its shareholders and will enhance its services for customers.
The companies said the tender offer is expected to close by Oct. 26.
Shares of KSW, based in Long Island City, N.Y., jumped 22 percent to $4.97 by early afternoon.