Shares of Amplify Snack Brands Inc (NYSE:BETR) ended Friday session in red amid volatile trading. The shares closed down -0.80 points or -4.80% at $15.88 with 1.02 million shares getting traded. Post opening the session at $16.66, the shares hit an intraday low of $15.86 and an intraday high of $16.80 and the price vacillated in this range throughout the day. The company has a market cap of $1.19 billion and the numbers of outstanding shares have been calculated to be 74.80 million shares.
Amplify Snack Brands Inc (BETR) on September 2, 2016 announced that it has completed the acquisition of Crisps Topco Limited and Subsidiaries (“Tyrrells”). Tyrrells is now a wholly-owned subsidiary of Amplify. The Company continues to expect that this acquisition will be accretive to both its 2017 and 2018 diluted earnings per share.
As part of the transaction, Amplify paid approximately £278 million in cash and issued approximately 2.1 million shares of its common stock to Investcorp and members of Tyrrells’ management team. Amplify financed the cash portion of this transaction with proceeds from a $600 million covenant lite term loan. The interest rate on the term loan is a floating rate based upon LIBOR plus 5.50% with a 1.00% floor on LIBOR. A $50 million, five-year revolver adjoins the term loan. Pro forma for the transaction, net leverage is approximately 5.7x. Amplify remains committed to maintaining long-term net leverage in the 4.0x to 4.5x range or less and expects to be within that range by the end of 2017, via organic growth and subsequent free cash generation.
“We took a tremendous step forward to build upon our Better-For-You snacking growth strategy with the acquisition of Tyrrells and its international portfolio of premium snack brands,” said Tom Ennis, Amplify’s President and Chief Executive Officer. “We are excited to welcome David Milner and the entire Tyrrells team to the Amplify family and look forward to significantly broadening our international customer reach, meaningfully diversifying our brand, product, category, geographic and retail presence, as we realize the benefits of operating scale to fuel our future revenue synergies and continued sales and profit growth.”
Shares of Packaging Corp Of America (NYSE:PKG) ended Friday session in green amid volatile trading. The shares closed up +1.65 points or 2.05% at $82.29 with 931,683.00 shares getting traded. Post opening the session at $82.44, the shares hit an intraday low of $81.34 and an intraday high of $82.77 and the price vacillated in this range throughout the day. The company has a market cap of $7.66 billion and the numbers of outstanding shares have been calculated to be 94.23 million shares.
Packaging Corp Of America (PKG) on September 1, 2016 announced that it intends to increase the quarterly cash dividend on its common stock to an annual payout of $2.52 per share from $2.20 per share, a 15% increase. The first quarterly dividend of $0.63 per share will be paid on October 14, 2016 to shareholders of record as of September 15, 2016. Future declaration of quarterly dividends and the establishment of future record and payment dates are subject to the final determination of PCA’s Board of Directors.