Connect with us

Business Wire

Element Solutions Inc Announces Closing of the Acquisition of Kester and Successful Repricing of the Company’s Existing Term Loans

Business Wire

Published

on

Reading Time: 3 minutes
  • Closed $68 million acquisition of Kester, a global supplier of advanced assembly materials, from Illinois Tool Works Inc.
  • Highly strategic acquisition adding scale and capabilities to Element Solutions’ market-leading assembly materials business
  • Repriced $744 million Term Loan B to reduce borrowing cost by 25 basis points or approximately $2 million in annual interest expense
  • Cumulative impact of these two transactions expected to be approximately 3% to 4% accretive to adjusted EPS in 2020

MIAMI–(BUSINESS WIRE)–Element Solutions Inc (NYSE:ESI) (“Element Solutions” or the “Company”), a global and diversified specialty chemicals company, announced today that it has closed its acquisition of Kester for approximately $68 million in cash from Illinois Tool Works Inc.

Kester is a global supplier of advanced technology assembly materials used in electronics assembly and semiconductor applications. The business, with roots dating to 1899, has manufacturing facilities in the U.S. and Germany. Kester’s products serve global customers across a diverse set of end-markets including consumer electronics, telecommunications, medical, automotive and military and aerospace.

Element Solutions also announced the successful repricing of its existing $744 million term loans which reduced the applicable interest rate by 25 basis points. The January 2026 maturity of the term loans is unchanged. The Company’s previously-announced cross-currency swaps and interest rate swaps will continue to apply with the same terms and conditions, effectively fixing the interest rate of the term loans at approximately 2.00% on the Euro equivalent balance of the loans through January 2024.

Chief Executive Officer Benjamin Gliklich commented, “Kester is a high-quality business with a great brand and strong legacy that brings us new capabilities and broader market access while fitting well within our existing electronics assembly materials business. I am thrilled to welcome the Kester team to the Element Solutions family. This acquisition is a model for the prudent, highly-strategic acquisitions that Element Solutions aims to pursue alongside the judicious return of capital to shareholders in its capital allocation strategy. We funded the purchase price with cash-on-hand and without a material increase to our net debt to adjusted EBITDA ratio. Simultaneously, we have been able to reduce the cost of our term loans by 25 bps, reflecting the credit markets increased enthusiasm for our strategy and conservative balance sheet. We anticipate the cumulative impact of these transactions to contribute approximately 3% to 4% accretion to adjusted EPS in 2020.”

About Element Solutions Inc

Element Solutions Inc is a leading specialty chemicals company whose businesses formulate a broad range of solutions that enhance the performance of products people use every day. Developed in multi-step technological processes, the innovative solutions of the Company’s businesses enable customers’ manufacturing processes in several key industries, including electronic circuitry, semiconductor, communication infrastructure, automotive systems, industrial surface finishing, consumer packaging and offshore energy.

More information about the Company is available at www.elementsolutionsinc.com.

Forward-looking Statements

This press release contains forward-looking statements, including, but not limited to, statements regarding the anticipated benefits of the repricing of the Company’s term loans and the acquisition of Kester, including the cumulative impact of these transactions on the Company’s adjusted earnings per share (EPS) in 2020, the successful integration of this acquisition, added scale and capabilities and broader market access, as well as acquisition strategy and return of capital to shareholders. These statements are based on management’s estimates and assumptions with respect to future events, and are believed to be reasonable, though are inherently difficult to predict. Actual results could differ materially from those projected as a result of certain factors including, without limitation, factors included in the Company’s periodic and other reports filed with the Securities and Exchange Commission. Element Solutions undertakes no obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise.

Contacts

Investor Relations Contact:

Yash Nehete

Senior Associate, Corporate Development & IR

Element Solutions Inc

1-561-406-8465

Media Contact:

Liz Cohen

Managing Director

Kekst CNC

1-212-521-4845

For more than 50 years, Business Wire has been the global leader in press release distribution and regulatory disclosure.

For the last half century, thousands of communications professionals have turned to us to deliver their news to the audiences most important to their business through the sources they trust most. Over that time, we've gone from a single office with one full time employee to more than 500 employees in 32 bureaus.

Business and Management

Granite Subsidiary Awarded $16 Million Interstate Rehabilitation Project in Illinois

Business Wire

Published

on

Reading Time: 2 minutes

WATSONVILLE, Calif.–(BUSINESS WIRE)–Granite (NYSE:GVA) announced today that its wholly-owned subsidiary, Kenny Construction Company (“Kenny”), has been awarded a contract by the Illinois Department of Transportation to rehabilitate sections of Interstate 94 (I-94) at Montrose Avenue in Cook County, Illinois.

The project will replace the superstructure and rehabilitate the substructure of I-94 at Montrose Avenue including improvements to drainage and safety with new roadway and underdeck lighting.

“This is an ideal project for our Midwest-based civil team,” said Ryan Clark, vice president of Granite’s Midwest Civil operations. “Located in the backyard of our Northbrook, Illinois office, this project will improve the lives of Cook County residents as well as the hundreds of thousands who travel on one of the busiest roads in the state.”

Construction is expected to begin in early 2020 and be complete in the fall of 2020.

About Granite

Granite is America’s Infrastructure Company™. Incorporated since 1922, Granite (NYSE:GVA) is one of the largest diversified construction and construction materials companies in the United States as well as a full-suite provider in the transportation, water infrastructure and mineral exploration markets. Granite’s Code of Conduct and strong Core Values guide the Company and its employees to uphold the highest ethical standards. In addition to being one of the World’s Most Ethical Companies for ten consecutive years, Granite is an industry leader in safety and an award-winning firm in quality and sustainability. For more information, visit graniteconstruction.com, and connect with Granite on LinkedIn, Twitter, Facebook and Instagram.

Contacts

Media

Erin Kuhlman 831-468-4111

Investors

Lisa Curtis 831-728-7532

Continue Reading

Business and Management

STERLING BANCORP ALERT: Bragar Eagel & Squire, P.C. is Investigating Sterling Bancorp, Inc. on Behalf of Stockholders and Encourages Investors to Contact the Firm

Business Wire

Published

on

Reading Time: 2 minutes

NEW YORK–(BUSINESS WIRE)–#SBT–Bragar Eagel & Squire, P.C., a nationally recognized shareholder law firm, is investigating potential claims against Sterling Bancorp, Inc. (NASDAQ:SBT) on behalf of Sterling Bancorp stockholders. Our investigation concerns whether Sterling Bancorp has violated the federal securities laws and/or engaged in other unlawful business practices.

Click here to participate in the action.

On December 9, 2019, Sterling Bancorp disclosed that its subsidiary, Sterling Bank and Trust, FSB, suspended its Advantage Loan program due to an ongoing internal review of documentation on past loans and an implementation of “systems and controls to ensure the Bank’s policies and procedures are followed on loans originated under the program.”

On this news, the Company’s stock price fell $1.23 per share, or over 13%, on December 9, 2019.

If you purchased or otherwise acquired Sterling Bancorp shares and suffered a loss, have information, would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Brandon Walker or Melissa Fortunato by email at investigations@bespc.com, or telephone at (212) 355-4648, or by filling out this contact form. There is no cost or obligation to you.

About Bragar Eagel & Squire, P.C.:

Bragar Eagel & Squire, P.C. is a nationally recognized law firm with offices in New York and California. The firm represents individual and institutional investors in commercial, securities, derivative, and other complex litigation in state and federal courts across the country. For more information about the firm, please visit www.bespc.com. Attorney advertising. Prior results do not guarantee similar outcomes.

Contacts

Bragar Eagel & Squire, P.C.

Brandon Walker, Esq.

Melissa Fortunato, Esq.

(212) 355-4648

investigations@bespc.com
www.bespc.com

Continue Reading

Business and Management

The Peck Company Supports Education within the Solar and Electrical Services Industry

Business Wire

Published

on

Reading Time: 3 minutes

SOUTH BURLINGTON, Vt.–(BUSINESS WIRE)–The Peck Company Holdings, Inc. (NASDAQ:PECK), a leading commercial solar engineering, procurement and construction (EPC) company, is proud to recognize their employees as they complete advanced training in the solar and electrical services industry.

The Peck Company is constructing our energy future and works hard to ensure that our team members obtain the education necessary for a long-term career in the industry. In November, several employees became certified to install the Tesla Powerwall and another employee passed the PV System Inspector (PVSI) Board Certification test. According to the North American Board of Certified Energy Practitioners, Inc. (NABCEP®), the PVSI recognizes the advanced experience and skill of inspecting residential and commercial photovoltaic systems. This advanced certification is for those who are highly knowledgeable of PV systems, applicable codes and ordinances, and are assessing the safety and operation of PV systems. The Peck Company honors and supports the dedication of its employees as they expand their skillsets to meet the needs of the industry.

Jeffrey Peck, Chief Executive Officer, commented, “We believe that investing in education for our employees is an important part of our growth story and supports our overall value proposition as a leader in the industry. The industry has experienced tremendous growth so far, and industry analyst Wood Mackenzie predicts further acceleration, and we are always looking for new team members who have a passion for the renewable energy industry. We will continue make decisions that support our employees and our long-term vision as a profitable growth company.”

About The Peck Company Holdings, Inc.

Headquartered in South Burlington, VT, The Peck Company Holdings, Inc. is a 2nd-generation family business founded in 1972 and rooted in values that align people, purpose, and profitability. Ranked by Solar Power World as one of the leading commercial solar contractors in the Northeastern United States, the Company provides EPC services to solar energy customers for projects ranging in size from several kilowatts for residential properties to multi-megawatt systems for large commercial and utility scale projects. The Company has installed over 125 megawatts worth of solar systems since it started installing solar in 2012 and continues its focus on profitable growth opportunities. Please visit www.peckcompany.com for additional information.

Forward-Looking Statements

This press release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, which are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, as amended. Words or phrases such as “may,” “should,” “expects,” “could,” “intends,” “plans,” “anticipates,” “estimates,” “believes,” “forecasts,” “predicts” or other similar expressions are intended to identify forward-looking statements, which include, without limitation, earnings forecasts, effective tax rate, statements relating to our business strategy and statements of expectations, beliefs, future plans and strategies and anticipated developments concerning our industry, business, operations and financial performance and condition.

The forward-looking statements included in this press release are based on our current expectations, projections, estimates and assumptions. These statements are only predictions, not guarantees. Such forward-looking statements are subject to numerous risks and uncertainties that are difficult to predict. These risks and uncertainties may cause actual results to differ materially from what is forecast in such forward-looking statements, and include, without limitation, the risk factors described from time to time in our filings with the Securities and Exchange Commission, including our Annual Report on Form 10-K.

All forward-looking statements included in this press release are based on information currently available to us, and we assume no obligation to update any forward-looking statement except as may be required by law.

Contacts

IR:

J. Charles Assets

Jay Hetrick

407-627-0169

jayhetrick@jcharlesassets.com
JCharlesAssets.com

Continue Reading

Font Resizer

Subscribe to PICANTE via Email

Enter your email address to subscribe to PICANTE and receive notifications of new posts by email.

Follow us on Facebook

Read more from our authors

Follow our Tweets

Trending

Please turn AdBlock off