Cintas and G&K Services have agreed to a merger. Cintas will acquire all outstanding shares of G&K Services for a total enterprise value of approximately $2.2 billion, including acquired net debt.

The purchase price represents a premium of about 19% to the closing price per share of G&K Service’s common stock on August 15, 2016. G&K Services, with annual revenue of approximately $1 billion, is a service-focused provider of branded uniform and facility services programs in the U.S. and Canada.

Cintas expects to finance the transaction through a combination of existing cash, assumption of existing G&K Services debt and new debt. Fully committed financing in the form of a bridge credit facility has been provided by KeyBank and JPMorgan Chase Bank.

KeyBanc Capital Markets provided a fairness opinion to the board of directors of Cintas. Jones Day and Keating Muething & Klekamp acted as legal counsel to Cintas.