Key Developments For Green Mountain Coffee Roasters Inc
Green Mountain Coffee Roasters Inc (GMCR.O) (Nasdaq)
Diedrich Coffee, Inc. Announces Green Mountain Coffee Roasters, Inc.'s Revised Offer Superior To Peet's Coffee & Tea, Inc's Offer
Peet's Coffee & Tea, Inc. announced that it has issued the following statement after an announcement by Diedrich Coffee, Inc. that Diedrich`s Board of Directors has determined a proposal from Green Mountain Coffee Roasters, Inc. to acquire Diedrich for $32.00 per share in cash to be superior to the November 22, 2009 enhanced acquisition proposal submitted by Peet`s. Peet`s had proposed to acquire Diedrich in a cash-and-stock transaction valued at $30.35 per share, or a total value of approximately $251 million, based on the closing price of Peet`s common of stock of $32.86 on November 24, 2009. That proposal expired this morning and is no longer in effect.
Diedrich Coffee, Inc. Announces Revised Offer From Green Mountain Coffee Roasters, Inc.
Diedrich Coffee, Inc. announced that on November 23, 2009, it received a revised offer from Green Mountain Coffee Roasters, Inc. to enter into a merger transaction pursuant to which GMCR would acquire all of the outstanding shares of common stock of Diedrich Coffee for $32.00 per share in cash, an increase of $2.00 per share over GMCR's prior offer. As with its prior offer, GMCR included with its revised offer a merger agreement signed by GMCR that contains substantially the same terms (other than the amount and form of consideration) as the merger agreement with Peet's Coffee & Tea, Inc. GMCR submitted its revised offer in response to a binding offer received by Diedrich Coffee from Peet's to pay to Diedrich Coffee's stockholders a combination of $19.80 in cash and 0.321 of a share of Peet's common stock for each share of Diedrich common stock tendered and accepted in its exchange offer, representing total consideration of $32.00 per share based on Peet's closing price on Friday, November 20, 2009 of $38.00 per share. The stock component of the revised purchase price is based on a fixed exchange ratio, so the value of that component will increase or decrease with changes in the market price of Peet's common stock. As required under the terms of the existing merger agreement with Peet's, on Monday, November 23, 2009, Diedrich Coffee transmitted to Peet's notice of GMCR's revised offer.
Green Mountain Coffee Roasters, Inc. Confirms $30.00 Per Share Cash Proposal To Acquire Diedrich Coffee, Inc.
Green Mountain Coffee Roasters, Inc. confirmed that it has submitted a proposal to acquire Diedrich Coffee, Inc. (Diedrich) for $30.00 per share in cash pursuant to a cash tender offer, in a transaction with a total enterprise value of approximately $247 million. Separately, Diedrich announced that the Board of Directors of Diedrich had determined that the GMCR offer constituted a superior proposal, as defined in the existing merger agreement between Diedrich and Peet`s Coffee & Tea, Inc. , (Peet`s), to the November 2, 2009, Peet`s proposal. Diedrich also announced that is has received a revised offer from Peet`s. Under the terms of GMCR`s proposal, GMCR will acquire all of the outstanding shares of Diedrich common stock for $30.00 per share in cash, with no financing and no due diligence contingencies. GMCR intends to fully finance this transaction through cash on hand and GMCR`s existing bank lines of credit. This offer represents a 47% premium to the closing market price of Diedrich common stock on November 2, 2009, the last trading day prior to the public announcement of a proposed merger agreement between Diedrich and Peet`s, and a 15% premium over the original cash and stock proposal from Peet`s. GMCR anticipates that this transaction will be neutral to slightly accretive within the first twelve months following the close, excluding one-time transaction expenses, and accretive thereafter.
Green Mountain Coffee Roasters, Inc. Acquires Timothy`s Coffees of the World, Inc.; Raises FY 2010 Guidance
Green Mountain Coffee Roasters, Inc. announced that the Company has acquired Timothy`s Coffees of the World, Inc. (Timothy`s) from an affiliate of Sun Capital Partners, Inc. for a cash purchase price of approximately $157 million, subject to adjustment. The acquisition includes the Timothy`s World Coffee brand and wholesale business (but does not include retail operations), and will be maintained as a wholly owned Canadian subsidiary, with operations integrated into GMCR`s Specialty Coffee Business Unit. The Company also revised its fiscal 2010 guidance and expects total consolidated net sales growth of 55% to 60%, up from prior estimates of 50% to 55% and fully diluted GAAP earnings per share (EPS) to be in the range of $1.85-$1.95 per share, up from prior estimates of $1.75 to $1.85 per share. The fully diluted GAAP EPS estimates include $14 million pre-tax or $0.18 per diluted share non-cash amortization expenses related to the identifiable intangibles of the Company's acquisitions and including estimated acquisition transaction expenses related to the Timothy's acquisition which now are required to be expensed rather than capitalized under the new Financial Accounting Standards Board pronouncement on business combinations. The Company reported revenues of $803.0 million in fiscal 2009. According to Reuters Estimates, analysts are expecting the Company to report EPS of $1.81 on revenues of $1.224 billion for fiscal 2010.
Green Mountain Coffee Roasters, Inc. Raises FY 2010 Outlook; Issues Q1 2010 EPS Outlook Below Analysts' Estimates; Comments On Q1 2010 Revenue Outlook
Green Mountain Coffee Roasters, Inc. raised fiscal 2010 outlook for total consolidated net sales growth of 50% to 55%, up from prior estimates of 45% to 50%, and fully diluted GAAP earnings per share (EPS) in the range of $1.75 to $1.85 per share, including the non-cash amortization expenses related to the identifiable intangibles mentioned above of $6 million or approximately $0.08 per share, up from prior estimates of $1.70 to $1.80 per share. The Company reported net sales of $803.0 million in fiscal 2009. For the first quarter of 2010, the Company expects total consolidated net sales growth of 61% to 66% and fully diluted GAAP EPS in the range of $0.11 to $0.15 per share. According to Reuters Estimates, analysts on an average were expecting the Company to report EPS of $1.66 on revenue of $1.186 billion for fiscal 2010; EPS of $0.21 on revenue of $311 million for the first quarter of 2010.
