U.S. News

Nacco Industries Ups Bid for Applica

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Nacco Industries raised its bid for household appliance distributor Applica to $7.50 ashare, up from $7, escalating a bidding war with Applica's largest shareholder.

In July, Nacco Industries said it would spin off its Hamilton Beach unit, then merge it with Applica.

But Harbinger Capital Partners, which owns 40% of Applica's stock, rejected the proposal and offered to buy remaining shares for $6 per share.

The two entities traded bids and Nacco sued in November to stop a Harbinger deal.

On Friday, Harbinger upped its own bid to $7 a share from $6.50 to compete with Nacco's most recent offer of $7 a share.

A meeting of Applica shareholders to vote on the new offer by Harbinger is scheduled for Thursday.