Arab Today, arab today newell rubbermaid to buy jarden in 154bn deal
Last Updated : GMT 19:46:07
Arab Today, arab today
Arab Today, arab today

Newell Rubbermaid to buy Jarden in $15.4bn deal

Arab Today, arab today

Arab Today, arab today Newell Rubbermaid to buy Jarden in $15.4bn deal

Waterman pens at the Saint-Herblain plant of US group Newell Rubbermaid
New York - AFP

A Newell Rubbermaid is buying rival Jarden in a $15.4 billion cash-and-stock deal that creates a global consumer goods giant, the US companies announced Monday.

Newell Rubbermaid, maker of Rubbermaid storage containers, Sharpie pens and Calphalon cookware, said the combination of the two companies into the new Newell Brands would create a powerful portfolio of strong global brands with $16 billion in annual revenues.

Jarden's brands include Coleman tents, Yankee Candle candles, AeroBed inflatable mattresses, Crock-Pot cookers and Mr. Coffee coffeemakers.

"The scale of our combined businesses in key categories, channels and geographies creates a much broader canvas on which to leverage our advantaged set of brand development and commercial capabilities for accelerated growth and margin expansion," said Michael Polk, president and chief executive of Newell Rubbermaid, in a statement.

Newell Rubbermaid estimated the merger will yield about $500 million in cost synergies over four years, followed by "strong double-digit" earnings-per-share growth.

Under the terms of the deal, Jarden shareholders will receive for each share they own $21 in cash and 0.862 shares of Newell Rubbermaid. Based on the companies' share closing prices Friday, the acquisition offer represents a 24 percent premium to Jarden's 30-day weighted share price average.

Including Jarden convertible bonds in the deal, the total value of the takeover is $15.4 billion.

Polk will be CEO of Newell Brands and the new company's board of directors will have 13 members, including three representatives of the Jarden board.

The companies expect the transaction will close in the second quarter of 2016, dependent on shareholder and regulatory approvals.

Investors in Newell Rubbermaid sent shares tumbling 10.6 percent to $40.46 in early-afternoon trade in an overall choppy market. Jarden shares rose 0.7 percent to $53.04.

Briefing.com noted the deal was hardly a surprise for investors because of media reports last week that the two companies were in talks.

"The deal seems to make sense on both ends. Newell Rubbermaid adds some attractive brands in areas where they do not currently have a lot of exposure. And for Jarden, it's a nice premium," Briefing.com said in a research note.

Although US consumer spending has pulled back a bit recently, it said, the "longer term prognosis looks good" for the combined company.

 

arabstoday
arabstoday

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today newell rubbermaid to buy jarden in 154bn deal Arab Today, arab today newell rubbermaid to buy jarden in 154bn deal

 



Arab Today, arab today

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today newell rubbermaid to buy jarden in 154bn deal Arab Today, arab today newell rubbermaid to buy jarden in 154bn deal

 



Arab Today, arab today France defies terrorism through tourism

GMT 15:18 2017 Saturday ,20 May

France defies terrorism through tourism
Arab Today, arab today Zainab Fadel Oglu designs “Shakerin” mosque

GMT 12:13 2017 Thursday ,11 May

Zainab Fadel Oglu designs “Shakerin” mosque
Arab Today, arab today Seeks to move past rift with Israel

GMT 08:00 2017 Monday ,08 May

Seeks to move past rift with Israel
View News in Arabic - Business: اقتصاد دولي
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Mozambique's gas boom dream under threat

GMT 16:29 2017 Monday ,08 May

Mozambique's gas boom dream under threat
Arab Today, arab today Prepares to give stargazers an eyeful

GMT 13:38 2017 Monday ,06 March

Prepares to give stargazers an eyeful
Arab Today, arab today Jaguar displays XF Sportbrake line

GMT 14:36 2017 Monday ,08 May

Jaguar displays XF Sportbrake line
Arab Today, arab today BMW sees forecasts in reach

GMT 09:04 2017 Thursday ,04 May

BMW sees forecasts in reach
Arab Today, arab today Climate science: Bad news gets worse

GMT 08:48 2017 Saturday ,06 May

Climate science: Bad news gets worse
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday