Somnigroup to Buy Supplier Leggett & Platt for $2.5 Billion (1)

Somnigroup International Inc. agreed to buy bedding supplier Leggett & Platt Inc. in an all-stock transaction worth about $2.5 billion.

Under the agreement, Leggett & Platt shareholders will receive 0.1455 shares of Somnigroup for each share of Leggett & Platt, according to a statement Monday. Based on closing stock prices on April 10, the deal represents about a 14% premium for Leggett & Platt shareholders, according to Bloomberg calculations.

Shares of Leggett & Platt rose 7.1% in premarket trading in New York.

Somnigroup, which owns the Tempur, Sealy, Mattress Firm and Dreams bedding businesses, said Leggett & Platt will similarly ...