TreeHouse Foods Completes Acquisition of Harris Tea
TreeHouse Foods (NYSE: THS) has completed the acquisition of Harris Tea for approximately $205 million, primarily funded with cash on hand. The acquisition provides TreeHouse Foods with an immediate leadership position in private label tea and brings Harris Tea's capabilities in tea sourcing, blending, and packing.
The purchase price represents approximately 8.5x trailing-twelve-month adjusted EBITDA, or 6.5x net of synergies and the net present value of future tax benefits. The company expects the acquisition to be accretive to revenue and profitability in 2025. TreeHouse Foods has reiterated its 2024 full-year guidance, including expectations for sequential improvement in volume growth and profit margin in the fourth quarter.
TreeHouse Foods (NYSE: THS) ha completato l'acquisizione di Harris Tea per circa 205 milioni di dollari, finanziata principalmente con liquidità disponibile. L'acquisizione consente a TreeHouse Foods di ottenere una posizione di leadership immediata nel settore del tea a marchio privato e porta in dote le capacità di Harris Tea nel sourcing, miscelazione e confezionamento del tè.
Il prezzo di acquisto rappresenta circa 8,5 volte l'EBITDA rettificato degli ultimi dodici mesi, o 6,5 volte netto di sinergie e il valore attuale netto dei futuri benefici fiscali. L'azienda prevede che l'acquisizione sia accretiva al fatturato e alla redditività nel 2025. TreeHouse Foods ha ribadito le previsioni per l'intero anno 2024, comprese le aspettative di un miglioramento sequenziale nella crescita del volume e del margine di profitto nel quarto trimestre.
TreeHouse Foods (NYSE: THS) ha completado la adquisición de Harris Tea por aproximadamente 205 millones de dólares, financiada principalmente con efectivo disponible. La adquisición proporciona a TreeHouse Foods una posición de liderazgo inmediata en té de marca privada y aporta las capacidades de Harris Tea en la obtención, mezcla y empaquetado de té.
El precio de compra representa aproximadamente 8.5 veces el EBITDA ajustado de los últimos doce meses, o 6.5 veces neto de sinergias y el valor presente neto de futuros beneficios fiscales. La compañía espera que la adquisición sea accretiva para los ingresos y la rentabilidad en 2025. TreeHouse Foods ha reiterado su guía para todo el año 2024, incluyendo expectativas de mejora secuencial en el crecimiento del volumen y el margen de ganancia en el cuarto trimestre.
TreeHouse Foods (NYSE: THS)는 Harris Tea를 약 2억 5백만 달러에 인수하며, 주로 현금으로 자금을 조달하였습니다. 이번 인수는 TreeHouse Foods에게 프라이빗 레이블 차에서 즉각적인 리더십 위치를 제공하며, Harris Tea의 차 소싱, 블렌딩 및 포장 능력을 가져옵니다.
구매 가격은 약 12개월 기준 조정 EBITDA의 8.5배, 또는 시너지 효과를 제외한 6.5배와 향후 세금 혜택의 순현재 가치에 해당합니다. 회사는 이번 인수가 2025년 매출과 수익성에 긍정적인 기여를 할 것으로 기대하고 있습니다. TreeHouse Foods는 2024년 전체 연도에 대한 가이던스를 재확인하며, 4분기 볼륨 성장 및 이익률의 순차적 개선에 대한 기대를 포함하고 있습니다.
TreeHouse Foods (NYSE: THS) a finalisé l'acquisition de Harris Tea pour environ 205 millions de dollars, financée principalement par des liquidités disponibles. Cette acquisition permet à TreeHouse Foods d'obtenir une position de leader immédiate sur le marché du thé de marque de distributeur et apporte les compétences de Harris Tea en matière d'approvisionnement, de mélange et d'emballage du thé.
Le prix d'achat représente environ 8,5 fois l'EBITDA ajusté des douze derniers mois, ou 6,5 fois net des synergies et la valeur actuelle nette des futurs avantages fiscaux. La société s'attend à ce que l'acquisition soit additive au chiffre d'affaires et à la rentabilité en 2025. TreeHouse Foods a réitéré ses prévisions pour l'année 2024, y compris des attentes d'amélioration séquentielle de la croissance des volumes et de la marge bénéficiaire au quatrième trimestre.
TreeHouse Foods (NYSE: THS) hat die Übernahme von Harris Tea für etwa 205 Millionen Dollar abgeschlossen, die hauptsächlich aus vorhandenen liquiden Mitteln finanziert wurde. Die Übernahme verschafft TreeHouse Foods eine sofortige Führungsposition im Bereich der Eigenmarken-Tees und bringt die Fähigkeiten von Harris Tea im Tee-Sourcing, Mischen und Verpacken mit sich.
Der Kaufpreis entspricht ungefähr 8,5-fachem angepasstem EBITDA der letzten zwölf Monate, oder 6,5-fach netto der Synergien und dem Nettobarwert zukünftiger Steuervorteile. Das Unternehmen erwartet, dass die Übernahme in 2025 umsatz- und rentabilitätssteigernd sein wird. TreeHouse Foods hat die Prognose für das gesamte Jahr 2024 bekräftigt, einschließlich der Erwartungen an eine sequenzielle Verbesserung des Volumenwachstums und der Gewinnmarge im vierten Quartal.
- Acquisition expected to be accretive to revenue and profitability in 2025
- Immediate leadership position gained in private label tea market
- Purchase price of 6.5x EBITDA after synergies indicates potential value creation
- Transaction funded primarily with cash on hand, demonstrating balance sheet strength
- Sequential improvement expected in volume growth and profit margin for Q4 2024
- Significant cash outlay of $205 million impacts available liquidity
Insights
TreeHouse Foods'
The deal immediately establishes TreeHouse as a leader in private label tea, a growing segment with higher margins than traditional private label categories. Harris Tea's vertical integration in sourcing and blending provides significant operational advantages and potential cost synergies. The transaction's structure, leveraging tax benefits, shows sophisticated financial engineering that enhances the deal's overall return profile.
This acquisition marks a pivotal expansion into the premium private label tea segment, where margins typically range
The timing is particularly strategic as consumer preference continues shifting toward private label products amid inflationary pressures. The deal strengthens TreeHouse's portfolio diversification while adding a high-growth category that complements their existing product mix. The company's maintained 2024 guidance, including expectations for volume growth and margin improvements, suggests confidence in near-term integration and operational execution.
"The acquisition of Harris Tea is a good use of our balance sheet strength, bringing a fast-growing, margin-accretive business into TreeHouse Foods, and giving us an immediate leadership position in private label tea," said TreeHouse Foods Chairman, CEO and President Steve Oakland. "Harris Tea's capabilities in tea sourcing, blending and packing, as well as its scale, industry expertise, and customer relationships, fit our strategy well."
TreeHouse Foods funded the acquisition of Harris Tea primarily with cash on hand and expects the acquisition to be accretive to revenue and profitability in 2025. As previously disclosed, the purchase price equals roughly 8.5x trailing-twelve-month adjusted EBITDA, or 6.5x net of synergies and the net present value of future tax benefits.
TreeHouse Foods is reiterating its 2024 full-year guidance, including the expectation of sequential improvement in volume growth and profit margin in the fourth quarter.
About TreeHouse Foods
TreeHouse Foods, Inc. is a leading private brands snacking and beverage manufacturer in
Additional information, including TreeHouse Foods' most recent statements on Forms 10-Q and 10-K, may be found at the Company's website, http://www.treehousefoods.com.
Forward-Looking Statements
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SOURCE TreeHouse Foods, Inc.
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