NEW YORK (AP) -- Danfoss A/S has raised its offer to buy the rest of Sauer-Danfoss Inc. it doesn't already own to $13.25 per share from an initial offer of $10.10 per share.
Danfoss, a Denmark-based manufacturer of valves and fluid handling components for air conditioning, heating and industrial applications, made its initial bid in December. Danfoss and its subsidiaries currently own a stake of about 75.7 percent in Sauer-Danfoss.
Danfoss' new offer values the remaining 24.3 percent stake at $153.9 million. The previous offer valued the chunk at $117.3 million. The company plans to launch a cash tender offer on Wednesday.
Sauer-Danfoss Inc., which makes hydraulic, electric and electronic systems and components, confirmed the offer on Tuesday. But the company recommended its shareholders not tender their shares until its special committee has formally responded to the new offer.
Shares of Sauer-Danfoss, based in Ames, Iowa, rose 87 cents, or 7 percent, to $13.21 in midday trading. The stock earlier hit a new year high of $13.30. Its previous peak of $12.70 was set Jan. 20.
