Nascar offered to acquire
in a deal that values the owner of the Daytona International Speedway at $1.85 billion and would combine the companies into a privately held group owned by Nascar’s controlling family.
International Speedway said Friday that it has formed a special committee of independent directors to consider the deal and that no decisions have been made in response to the proposal. Nascar and ISC will continue to operate as separate and independent entities in the interim.
Nascar is part of the France Family Group, which also controlled roughly 74.2% of voting power of the outstanding stock in International Speedway as of Aug. 31, according to International Speedway’s most recent quarterly filing with the Securities and Exchange Commission.
Jim France, chief executive of Nascar, said a unified strategic approach is important to future growth. “We believe the industry requires structural changes to best position the sport for long-term success, and this offer represents a positive step forward in that direction,” Mr. France said in a news release.
Nascar offered to buy International Speedway’s outstanding stock for $42 a share, about a 7.5% premium to the company’s closing price Friday. International Speedway has about 44.1 million shares outstanding, according to FactSet.
According to International Speedway, the proposal calls for the joining of Nascar and International Speedway into a privately held group of companies with the France family, Nascar’s founding family, as its primary owners. Nascar was founded by Bill France in 1948, and his family members still own and operate it.
Nascar’s offer is subject to approval of the holders of a majority of the International Speedway’s outstanding common stock, other than the common stock held by the France family.