- Leggett & Platt (NYSE:LEG +0.4%) agrees to acquire Elite Comfort Solutions or ECS for $1.25B; the acquisition will potentially expand LEG's presence in specialty foam and hybrid boxed bed market segment
- ECS generated $611M in annual sales; EBITDA margins accretive to the company average
- ECS will have slight negative impact on consolidated EBIT margins; however, the acquisition is expected to be neutral to EPS in 2019 and accretive to EPS from 2020
- The transaction will be be financed with expanded commercial paper program and $500M 5-year term loan
- The deal is expected to close in January 2019.