The Hershey CompanyNYSE
China Concerns Create 5:1 Upside Opportunity For Hershey
Valkyria Capital Partners
Valkyria Capital Partners
Mon, Aug. 29, 4:15 PM
- Mondelez International (NASDAQ:MDLZ) announces it has ended discussions with Hershey (NYSE:HSY) regarding a potential merger after factoring in recent shareholder developments at the candy company.
- “We remain focused on successfully executing our strategy to deliver both sustainable top-line growth and significant margin expansion and are well-positioned to continue to deliver value to our shareholders,” says CEO Irene Rosenfeld.
- Shares of Hershey are down 9.8% AH. MDLZ is inactive.
- Source: Press Release
Mon, Jul. 4, 6:02 AM
- While Hershey's (NYSE:HSY) board of directors unanimously rejected Mondelez's (NASDAQ:MDLZ) $23B bid on Thursday, its once impenetrable defenses are now looking weaker, Reuters reports.
- The Hershey Trust (which holds 81% of the company's voting stock) is under investigation and the Pennsylvania AG's office (which has say in any change in Hershey's ownership) is probing how much it spends and how long its directors have served for.
- Given the upheaval at the trust and the potential for three new board members, some analysts feel there is a chance the trust could be more open to a sale of the confectioner in the future.
Thu, Jun. 30, 2:31 PM
- Hershey (NYSE:HSY) says it has rejected the takeover bid from Mondelez (NASDAQ:MDLZ), with a unanimous vote.
- The company said it got a nonbinding indication of interest for a cash-and-stock deal totaling $107/share of Hershey common stock, along with nonmonetary considerations.
- Hershey says it carefully reviewed the indication of interest, the board uninamously rejected it, and that it determined it provided "no basis for further discussion between Mondelez and the company."
- Shares of Hershey still halted. MDLZ is up 4.2%.
- Updated 2:37 p.m.: Hershey has resumed trading, down slightly from its all-time high of $117.79 set earlier but still up 13.5% on the day.
- Previously: Hershey rises 19% on report of blockbuster buyout offer from Mondelez (Jun. 30 2016)
- Previously: Hershey jumps 7.6% on report of takeout bid by Mondelez (Jun. 30 2016)
Thu, Jun. 30, 10:54 AM
- Hershey (NYSE:HSY) is now up 19.4% after reports of a buyout offer by food giant Mondelez (MDLZ +1.8%).
- Terms of a deal aren't known, but Hershey is worth $21B and Mondelez nearly $70B, and the combination would unite a well-known American candy brand with the maker of Cadbury chocolates.
- Any deal depends on the approval of the Hershey Trust (holders of 81% of its votes), which has opposed selling in the past.
- Mondelez is trying to make a compelling case, though, promising to relocate its chocolate HQ to Hershey, Pa., and rename itself Hershey.
- Updated 12:29 p.m.: Hershey shares halted again for news.
Thu, Jun. 30, 10:36 AM
- Mondelez (NASDAQ:MDLZ), the food giant that had been carved out of Kraft Foods, has made a takeover bid for Hershey (NYSE:HSY), The Wall Street Journal reports.
- Hershey shares are up 7.6% in response.
- MDLZ is up 1.4% today.
- Updated 10:39 a.m.: Coming off a halt, Hershey is now up 17.5% to $114.09.
- Updated 10:45 a.m.: Hershey halted again, up 21.3%.
- Developing story ...
Thu, Jun. 9, 10:44 AM
- Shares of Hershey (NYSE:HSY) are up 1.7% with some traders chatting up a Nestle (OTCPK:NSRGY, OTCPK:NSRGF) buyout scenario.
- Nestle is currently third in the North America chocolate market behind Hershey and Mars.
- A Nestle-Hershey combination would likely lead to some asset sales, similar to the MegaBrew deal maneuvers that Anheuser-Busch InBev and SABMiller had to work out to appease regulators.
Apr. 24, 2015, 7:00 AM
- Apollo Global Management (NYSE:APO) and Dean Matropoulus are looking to sell Hostess after only holding the brand for about two years, according to the New York Post.
- Sources indicate at least one buyer is willing to pay the $2B price tag.
- Hostess was sold out of bankruptcy for $410M and now operates under a more cost-efficient structure.
- Analysts think Hostess could be grown to a billion-dollar brand.
- Snack rivals includes Mondelez International (NASDAQ:MDLZ), Hershey (NYSE:HSY), Flower Foods (NYSE:FLO), and Grupo Bimbo (OTCPK:GRBMF).
Oct. 2, 2013, 3:11 AM
- Archer Daniels Midland (ADM) is reportedly close to selling its cocoa business to Cargill in a deal that could be worth up to $2B.
- The divestiture would further strengthen ADM's shift towards the grains industry as it completes its $3B acquisition of GrainCorp. The transaction would also reduce ADM's exposure to the lower profitability that's affecting the cocoa sector.
- The deal would create a global price-setting giant to rival Zurich-based Barry Callebaut (BYCBF.PK), the world's biggest producer of industrial chocolate products. Cargill and Barry Callebaut would account for over 50% of world capacity.
- Food producers that could be affected include MDLZ, HSY, RMCF, KRFT, NSRGY.PK.
- ETF: NIB