Manitowoc Ice sale helps clear 'last big hurdle' for Ali Group purchase of Welbilt - analyst
JHVEPhoto/iStock Editorial via Getty Images
Welbilt's (NYSE:WBT) sale of its Manitowoc Ice business for $1.6B to Pentair (NYSE:PNR) helps clear the "last big hurdle" for completing Ali Group's planned purchase of Welbilt, according to Baird.
"A round of congrats to WBT management on getting Ice margins where few thought possible, on getting a healthy multiple on the transaction and on clearing the last big hurdle in completing the Welbilt sale to Ali Group," Baird analyst Mircea Dobre wrote in a note.
Welbilt announced in late September that it planned to sell its Manitowoc Ice brand to allay antitrust concerns of the U.S. Department of Justice regarding the company's $3.5B sale to Ali Group.
Bloomberg reported in late January that Electrolux Professional and Middleby Corp. (NASDAQ:MIDD) were said to be bidding about $1.2B for Welbillt's (WBT) Manitowoc ice business.
Welbilt (WBT) said it expects to receive regulatory approval for the sale of Welbilt to Ali Group from the U.S., United Kingdom, and European Union prior to closing the sale of Manitowoc Ice to Pentair (PNR). WBT expects to complete the sale of Manitowoc Ice in the first half of this year, concurrently with the close of its sale to Ali Group, according to a statement.
