Why did Air Products terminate its financing commitments for the Airgas acquisition?

Air Products terminated its financing commitments because the offer by its subsidiary, Air Products Distribution, Inc., to purchase all outstanding shares of Airgas, Inc. common stock was also terminated.

Were there any financial penalties associated with terminating the financing agreement?

No, the filing explicitly states that no early termination penalties were incurred by Air Products.

Does this filing mean the Airgas acquisition is completely off the table?

This filing specifically addresses the termination of the financing for the tender offer. While it signifies the abandonment of this particular acquisition method, it does not necessarily preclude Air Products from pursuing other acquisition strategies for Airgas in the future, though this 8-K focuses solely on the financing termination related to the tender offer.

APD 8-K: Material Agreements

Summary

Air Products & Chemicals, Inc. (APD) has filed an 8-K to report the termination of its financing commitments related to the previously announced offer to acquire Airgas, Inc. The termination of these commitments, effective February 16, 2011, stems directly from the termination of Air Products Distribution, Inc.'s tender offer for Airgas shares. Crucially, Air Products incurred no early termination penalties associated with the Amended Acquisition Facility.

Key Highlights

1Termination of financing commitments for the Airgas acquisition offer.
2Financing commitments terminated on February 16, 2011.
3Termination is a direct consequence of the termination of the Airgas tender offer.
4The relevant financing agreement was an amended and restated credit agreement dated February 3, 2011 (Amended Acquisition Facility).
5No early termination penalties were incurred by Air Products.
6This filing indicates the Airgas acquisition attempt, as structured, is no longer proceeding due to financing withdrawal.

Air Products & Chemicals, Inc. 8-K Report, Agreement Terminated (Feb 18, 2011)

Summary

Key Highlights

Frequently Asked Questions