RICHMOND, Va.--(BUSINESS WIRE)--Feb. 1, 2017--
Tredegar Corporation (NYSE:TG) announced today that its subsidiary, The
William L Bonnell Company, Inc. (“Bonnell Aluminum”), has agreed to
acquire 100% of the equity interests of Futura Industries Corporation
(“Futura”) on a net debt-free basis for approximately $92 million. The
acquisition, which will be funded using Tredegar’s existing revolving
credit facility and treated as an asset purchase for U.S. federal income
tax purposes, is expected to be immediately accretive to Tredegar’s
consolidated ongoing earnings. Closing of the transaction is expected by
mid-February.
Futura, headquartered in Clearfield, Utah, with a national sales
presence and particular strength in the western U.S., designs and
manufactures a wide range of extruded aluminum products for a number of
industries and end markets, including branded flooring trims and TSLOTS,
as well as OEM components for truck grills, solar panels, fitness
equipment and other applications. Futura has approximately 350 employees
and preliminary EBITDA (earnings before interest, taxes, depreciation
and amortization) for 2016 of $13.6 million. For additional information,
please visit www.futuraind.com.
Commenting on the acquisition, John Gottwald, Tredegar’s President and
CEO, said, “The addition of Futura to our aluminum extrusions business
strengthens us on all fronts. Futura has an excellent management team
that is very focused on customer satisfaction. Their strong market
position in value-added segments in the western U.S. complements Bonnell
very nicely.”
About Tredegar Corporation
Tredegar Corporation is a manufacturer of plastic films and aluminum
extrusions. A global company headquartered in Richmond, Virginia,
Tredegar had 2015 sales of $896 million. With approximately 2,800
employees, the company operates manufacturing facilities in North
America, South America, Europe, and Asia.
Forward-Looking and Cautionary Statements
Some of the information contained in this press release may constitute
“forward-looking statements” within the meaning of the “safe harbor”
provisions of the Private Securities Litigation Reform Act of 1995. When
Tredegar uses the words “believe,” “estimate,” “anticipate,” “expect,”
“project,” “likely,” “may” and similar expressions, it does so to
identify forward-looking statements. Such statements are based on
Tredegar’s then current expectations and are subject to a number of
risks and uncertainties that could cause actual results to differ
materially from those addressed in the forward-looking statements. It is
possible that actual results and financial condition may differ,
possibly materially, from the anticipated results and financial
condition indicated in or implied by these forward-looking statements.
Accordingly, you should not place undue reliance on these
forward-looking statements. Factors that could cause actual results to
differ from expectations include, without limitation, the following: the
ability to integrate Futura’s operations as expected and within the
expected timeframe; possible disruptions to customer and employee
relationships and business operations caused by the transaction; the
ability to achieve the levels of revenue, profit, productivity, or
otherwise perform as Tredegar expects; the assumption of unanticipated
liabilities and contingencies; the ability to achieve anticipated
operational improvements; and the other factors discussed in the reports
Tredegar files with or furnishes to the Securities and Exchange
Commission (the “SEC”) from time to time, including the risks and
important factors set forth in additional detail in “Risk Factors” in
Part II, Item 5 of Tredegar’s Quarterly Report on Form 10-Q for the
period ended September 30, 3016 and in Part I, Item 1A of Tredegar’s
2015 Annual Report on Form 10-K/A filed with the SEC. Readers are urged
to review and consider carefully the disclosures Tredegar makes in its
filings with the SEC.
Tredegar does not undertake, and expressly disclaims any duty, to update
any forward-looking statement made in this press release to reflect any
change in management’s expectations or any change in conditions,
assumptions or circumstances on which such statements are based, except
as required by applicable law.
View source version on businesswire.com: http://www.businesswire.com/news/home/20170201006309/en/
Source: Tredegar Corporation
Tredegar Corporation
Neill Bellamy, 804-330-1211
Fax:
804-330-1777
neill.bellamy@tredegar.com
