We are raising our Gentex fair value estimate to $40 from $38 after the company’s Dec. 18 announcement to buy the remaining roughly 70% of shares of VOXX International it does not already own for $7.50 per share in cash. The valuation increase reflects time value of money, nearly $100 million in incremental EBITDA modeled over our five-year explicit forecast period, and a slightly lower tax rate to reflect $15 million-$20 million of tax benefits VOXX brings Gentex over the next five to six years. We calculate a $128.1 million cash outlay for Gentex, and the deal is expected to close in first-quarter 2025. There is a $7.5 million termination fee. We calculate Gentex’s cost basis in VOXX, which it has bought in three tranches since October 2023, is $7.50 per share. VOXX’s Dec. 17 closing price was $7.77, but the $7.50 price is well above the $2.85 per share VOXX traded at before announcing Aug. 27 that it was pursuing strategic alternatives. Gentex earlier this year made an offer to buy VOXX at $5.50 per share. A VOXX press release puts the enterprise value at about $196 million, which is roughly 0.5 times where fiscal 2025 revenue (mostly automotive) was tracking.