Smucker Buys Wesson from Conagra, Atwood Oceanics Soars on Merger Offer

Mukesh Buch
30 May, 2017
New York City

American Woodmark net surged on 7%. Atwood Oceanics surged on a merger offer from the U.K.-focused Ensco plc. Smucker agreed to acquire the Wesson oil brand from Conagra Brands for $285 million. Multi-Color annual net doubled.

[R]12:55 PM New York – American Woodmark net surged on 7%. Atwood Oceanics surged on a merger offer from the U.K.-focused Ensco plc. Smucker agreed to acquire the Wesson oil brand from Conagra Brands for $285 million. Multi-Color annual net doubled.[/R]

Tollbooth Index edged up 4.49 to 12,206.64.

Earnings Review

American Woodmark Corporation ((AMWD)) soared 6.4% or $5.70 to $94.60 after the net sales in the fourth-quarter ending in April advanced 7% from a year ago to $258.7 million.

Net income in the quarter surged 29.1% to $17.3 million or $1.06 per diluted share from $13.4 million or 81 cents in the same quarter last year.

Atwood Oceanics, Inc ((ATW)) surged 25.9% or $2.10 to $10.18 after the offshore drilling services provider received a proposal from the U.K.-based Ensco Plc. The combined company will be valued at about $6.9 billion.

Under the terms, shareholders of Atwood will receive 1.6 shares of Ensco valued at $10.72 per Atwood share.

J M Smucker Co ((SJM)) fell 45 cents to $127.72 after the food product maker agreed to acquire Wesson oil brand from Conagra Brands, Inc. for about $285 million in cash.

Multi-Color Corporation ((LABL)) surged 7.5% or $5.85 to $84.35 after the printing services provider said net revenues in the fourth-quarter ending in March jumped 7.4% from a year ago to $244 million.

Net income in the quarter doubled to $16.7 million or 98 cents per diluted share from $8.3 million or 49 cents in the same quarter last year.

The printing services provider said gross margins in the quarter increased 22% from 21.4% and operating income surged 37% to $31.1 million from a year ago period.

Ship Finance International Limited ((SFL)) gained 2.9% or 38 cents to $13.43 after the Bermuda-based container vessels operator stated revenues in the first-quarter ending in March fell 0.9% from a year ago to $96.9 million.

Net income in the quarter jumped 13.3% to $32.3 million or 35 cents per diluted share from $28.5 million or 31 cents in the same quarter last year.