New York, August 8 (alphajetsusa.com) – By paying a sum of $1.55 billion to private-equity firm Madison Dearborn Partners, LLC, Campbell Soup Co (NYSE: CPB) recently proclaimed about completing the acquisition process of Bolthouse Farms that will be operated as a separate business unit.
Adding almost 5-7 cents to the fiscal 2019 earnings per share of the CPB, the possession is expected to be accretive to its bottom-line. Presence of Campbell Soup in packaged fresh foods market of the US and its brand portfolio are believed to be augmented by this inorganic move.
Being Bolthouse as primary producer of fresh foods and beverages all across the US, the transaction might aid Campbell in enhancing its market share in the market of packaged fresh food that is of $12.0 billion. V8 beverage segment of Campbell Soup will be complimented by Bolthouse Farms’ products. Representing 10 percent of the market share, this segment would probably bring consolidated sales of the company up to $1.2 billion.
Full fiscal 2018 results are expected to be delivered by Campbell exclusive of possession price. Earnings per share of the company is believed to be in the range of 5-7 percent, while EBIT is anticipated to be at the lower end range of 7-9 percent.