KKR bids for stake in German research firm GfK, shares soar

The announcement that KKR-controlled Acceleratio Capital NV would offer 43.50 euros ($46.77) per share in cash for all outstanding GfK shares sent shares in the German company surging 30 percent.

GfK Verein, GfK's majority shareholder with 56.46 percent, will keep its stake and has signed a shareholder agreement with Acceleratio Capital, outlining how they will work together after the offer to "jointly develop the company further," KKR said in a statement.

GfK is best known for its consumer confidence indices and TV audience ratings, but it has struggled to keep up with digital competition.

Acceleratio Capital said its offer represented a premium of about 44 percent over GfK's three-month average share price before news of the offer.

KKR said the deal was conditional on holders of at least 18.54 percent of GfK's shares accepting its offer.

"Following a successful tender offer, Acceleratio Capital NV and GfK Verein would jointly own at least 75 percent of the shares in GfK," KKR said.

KKR said GfK's management and supervisory boards supported the deal and would recommend that shareholders accept the offer.

GfK's stock fell by 20 percent in August after it warned on 2016 profits for a second time and its chairman and chief executive both unexpectedly resigned due to a falling-out with GfK Verein over strategy.

GfK Verein, a non-profit thinktank, said in late August it was not considering a sale of its stake in GfK after a magazine reported that it was considering a merger or sale of the group.

However, a person close to the deal told Reuters that GfK's board had been eyeing options for a stake sale for two years and that the research group had talked to several other interested parties, such as BC Partners.

KKR, which was advised by JPMorgan, did elaborate due diligence, the source said. GfK was advised by Deutsche Bank and GfK's supervisory board by Metzler.

(Reporting by Arno Schuetze and Tina Bellon; Editing by Harro ten Wolde and Adrian Croft)