Tobacco Supplier Alliance One International Is About To Turn Over A New Leaf
John Leonard • Tue, Mar. 25
- The mid single-digit multiple for Alliance One International is even more attractive given the improving macro and micro outlook.
- The multiple does not reflect its enviable market position as part of a duopoly, completion of a multi-year restructuring aimed at increasing efficiency and improving leverage profile.
- Margins should rebound off the cyclical low due to higher Chinese demand, decreasing tobacco costs and a lower cost structure.