Flowers Foods/Tasty Baking Co.
On April 22, 2011, Flowers Foods (NYSE: FLO) and Tasty Baking Company (Nasdaq: TSTY) entered into an agreement whereby Flowers will acquire all outstanding common shares of Tasty Baking for $4 per share, or total consideration of $165 million.
Under the terms of the agreement, Flowers will commence a tender offer to acquire all of the outstanding shares of Tasty common stock for $4.00 per share in cash.
The transaction is expected to close during Q211.
Key points of the deal:
Under the terms of the agreement, Flowers will commence a tender offer to acquire all of the outstanding shares of Tasty common stock for $4.00 per share in cash.
The transaction is expected to close during Q211.
Key points of the deal:
- Add approximately $115 million to $125 million to Flowers' 2011 sales, contribute approximately $10 million to $12 million to Flowers' 2011 EBITDA, and be neutral to slightly accretive to 2011 earnings per share, excluding one-time costs of the transaction; and
- Contribute approximately $210 million to $225 million to Flowers' 2012 sales, contribute approximately $25 million to $30 million to 2012 EBITDA, and contribute approximately $.06 to $.09 per diluted share.
