Diamond Foods, Inc. (NASDAQ:DMND) announced today that it has received notice of early termination of the antitrust waiting period for its pending acquisition of Kettle Foods, and now anticipates the transaction will close by March 31, 2010.
Based on the accelerated close, the company now expects to generate $0.47 to $0.50 in non-GAAP EPS during the second half of FY2010, compared to $0.44 to $0.48 reflected in previous guidance. The new guidance reflects continuing strong Diamond operating results and the addition of Kettle operations for four months. In addition, this updated guidance does not reflect costs associated with the transaction and integration, but does include higher interest expense and the dilutive impact of the recent equity offering.
"We plan to invest in promoting the Kettle brand to expand distribution, increase brand equity, and support the introduction of new products. Our strategy is to begin investing in Kettle's future growth by better deploying Diamond's balance sheet against the new Kettle value added retail franchise in the fourth quarter and to reduce less profitable volume in Diamond non-retail channels,"said Michael J. Mendes, Chairman, President and CEO.
Under the previously announced terms of the transaction, Diamond will pay $615 million in cash for Kettle. Transaction-related costs, estimated to be $29 million, are expected to be recorded in Diamond's fiscal 2010 third quarter.
三月 19, 2010
Like to receive news like this by email? Join and Subscribe!
Join Our Telegram Channel for regular updates!
精选企业
Related News
十月 30, 2024
Lay's brings back Do Us A Flavor contest with USD 1 million award. Get your potato chip flavor ideas ready!
十月 26, 2024
Einride Partners with PepsiCo to Electrify US Frito-Lay Food Routes
十月 19, 2024
Kellanova Has it All This Fall: Flavor and Fun with Satisfying Snacks and a Toasty Halloween Costume
Latest News
Sponsored Content
Sponsored Content
Sponsored Content
Sponsored Content
哪里
Sponsored Content