W.R. Grace responds to 40 North, says 'willing to discuss a sale'

W. R. Grace & Co. announced that it has sent a letter to 40 North Management in response to 40 North's January 11, 2021 revised unsolicited proposal to acquire Grace for $65 per share in cash, which stated in part: "Our Board of Directors has met and discussed your revised proposal. We are willing to discuss a sale of Grace to 40 North in the context of our ongoing review of strategic alternatives. Any transaction would need to be at a price level that reflects the full value of Grace for its shareholders. Grace's opportunities for continued growth and value creation are strong, particularly as our end markets recover from the disproportionate displacement resulting from the COVID-19 pandemic. As we disclosed when we announced our third quarter 2020 results, we have experienced a rapid recovery from the pandemic and expect fourth quarter 2020 sales and gross margin to approach pre-pandemic levels, with adjusted free cash flow nearing 2019 levels as well. Based on our recent growth investments and operating plan, we are confident in our robust opportunities for continued growth and high profitability. Grace is well positioned to emerge from this crisis even more successful than before. Grace's market-leading positions, advanced technologies, value-selling capabilities, and capital allocation discipline underpin our confidence in the Company's ability to generate substantial value as a standalone company or in a business combination. As a next step, we would be willing to share with you, under customary and appropriate confidentiality arrangements, information that would support a full valuation of Grace. We are prepared to move quickly to provide you with a draft confidentiality agreement, if you are interested."