Pilgrim Foods Offers A Rich Premium For Hillshire Brands
Mike Arnold • 26 Comments
Mike Arnold • 26 Comments
Hillshire Brands Tries To Go Higher
Jun. 9, 2014, 7:39 AM
- Tyson Foods (TSN) confirms a deal to buy Hillshire Brands (HSH) for $63 per share in a deal valued at $8.55B.
- The company will use cash on hand and a bridge loan to fund the acquisition.
- Execs will discuss the merger on a conference call at 8:30 AM EST.
- Shares of Tyson are down 2.8% in premarket action, while Hillshire Brands is up 5.1% to $61.95.
Jun. 3, 2014, 9:25 AM
Jun. 3, 2014, 7:30 AM
- Shares of Hillshire Brands (HSH) are up 8.3% to $58 in premarket action as investors bet another offer will come down the pike to top the $55 bid from Pilgrim's Pride (PPC).
- Analysts think $55 is close to where Tyson Foods (TSN) thought it could nab Hillshire, indicating the company may have to stretch if it wants to get its quick entry into the breakfast market through Hillshire.
May 29, 2014, 12:47 PM
May 29, 2014, 9:12 AM
May 29, 2014, 8:44 AM
- Tyson Foods (TSN) offers to buy Hillshire Brands (HSH) for $50 per share.
- The offer is over the top of a bid from Pilgrim's Pride (PPC) for the company.
- The news could hit shares of Pinnacle Foods (PF) if it's left without a merger partner.
- Food stock chain reaction (premarket): TSN +3.4% to $42.15; HSH +13.9% to $51.25, PPC -1.5% to $25.00; PF -1.8% to $31.00.
May 27, 2014, 12:47 PM
May 27, 2014, 9:11 AM
May 27, 2014, 7:28 AM
- A $6.4B offer by Pilgrim Pride's (PPC) to buy Hillshire Brands (HSH) could rattle the food sector.
- For starters, the deal could spoil Hillshire's offer on the table to buy Pinnacle Foods (PF).
- The quick analyst take on a PPC-HSH combination is favorable with the companies focused in different areas (chicken vs. packaged meat) which could lead to easy access to new distribution channels.
- Premarket: HSH +22.9% to $45.49, PF -5.3% to $31.50.
- Also on merger watch in the food sector: THS, SJM, GIS, KRFT, CPB, ADM, BGS, RAH, HAIN, K CAG
May 27, 2014, 7:10 AM
May 23, 2014, 10:08 AM
- Select food stocks are lively this morning with Kraft Foods (KRFT +0.3%), Hillshire Brands (HSH +2.4%), Tyson Foods (TSN +1.4%), and Bob Evans (BOBE +1.7%) all showing some volatility.
- Merger discussion is very much in the background in the sector. Pinnacle Foods (PF -1.6%) is lower on some growing chatter that the sale of the company to Hillshire Brands will meet shareholder resistance.
May 13, 2014, 8:24 AM
- Shares of Hillshire Brands (HSH) are higher in premarket trading with more analysts backing the company's move to buy Pinnacle Foods (PF) as a strategic long-term play.
- Some investors sold off Hillshire yesterday after the company removed its "pure-play" label through its acquisition of Pinnacle and with some speculation a ratings agency downgrade could be down the road.
- During a conference call with analysts, Hillshire execs said the deal will deliver "enhanced scale, capabilities, and margins, along with input cost diversification."
- Morningstar agrees, noting product diversity and scale could help smooth out margin fluctuations.
- Hillshire conference call transcript
- HSH +1.9% premarket
May 12, 2014, 8:00 AM
- Shares of Pinnacle Foods (PF) soar 22.8% to $37.40 after Hillshire Brands (HSH) offers to buy the company
- Traders are giving Pinnacle a little premium over the calculated deal price of $36.02.
- The combination of the food companies is expected to be immediately accretive to earnings. By the third year, the merger is forecast to generate $140M in annual cost synergies.
- HSH +5.6% premarket.
May 6, 2014, 10:48 AM
Jan. 30, 2014, 9:22 AM
- Hillshire Brands (HSH) posts profit growth in FQ2 as margins benefited from a shift in product mix.
- Volume was down 1.8% during the period.
- The company expects 2014 EPS growth to fall in the high end of prior guidance for flat to down in the mid-single digits.
- HSH +4.1% premarket
Oct. 31, 2013, 9:47 AM
Hillshire Brands Co is a manufacturer and marketer of convenient food. The Company operates in two business segments: Retail and Foodservice. Its brands portfolio includes Jimmy Dean, Ball Park, Hillshire Farm, State Fair, Van's, and Sara.
Sector: Consumer Goods
Industry: Processed & Packaged Goods
Country: United States
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