On Oct. 13, Melville, New York-based air power tool maker P&F Industries, Inc. announced that it has entered into a definitive agreement to be acquired by ShoreView Industries in an all-cash transaction for $13 per share.

The purchase price represents an approximately 97% premium to the closing stock price of the company’s stock on October 12, the last trading day prior to announcing the transaction, according to a company news release.

“We are pleased to reach this agreement with ShoreView, which provides significant premium cash value to our shareholders,” said Richard Horowitz, P&F Chairman of the Board, CEO and President. “Following comprehensive outreach to potential parties, our Board determined that ShoreView is the right partner for P&F that brings deep knowledge within the manufacturing industry. As a private company, the Company will have additional financial and operational flexibility to pursue our strategy to better serve customers across our markets.”

The transaction is expected to close in the fourth quarter of this year, subject to approval by holders of a majority of the shares not owned by Horowitz, consent of one of the company’s significant customers and other customary closing conditions.

After the deal is finalized, P&F will become a wholly owned subsidiary of ShoreView and P&F’s common stock will no longer be listed on any public market.