The 2020 Mid-Year Economic Update_long

Newell Brands Agrees to Acquire Sistema Plastics & Smith Mountain Industries

Acquisitions will broaden international footprint in multiple categories.

Newell Brands Inc. (NYSE: NWL), Hoboken, NJ, has agreed to acquire two companies – New Zealand-based Sistema Plastics for NZ$660 million (US$470 million) and Smith Mountain Industries for $100 million.

Sistema, with annual sales of $145 million, is a provider of innovative food storage containers. Additionally, Sistema will soon complete a state-of-the-art manufacturing facility in New Zealand that will enable Newell Brands to meet the capacity needs created by continued category growth.

Smith Mountain, which does business primarily under the WoodWick Candle brand, is a provider of home fragrance products. Its WoodWick Candle brand had annual sales of $65 million.

Both businesses are growing at rates well above Newell Brands’ core sales growth rate and are expected to be immediately accretive to normalized earnings. The Sistema transaction is expected to close in the second quarter of 2017, while the WoodWick Candle transaction is expected to close in the first quarter of 2017.

About the Author
Leave a Reply

Leave a Comment

Sign Up for the MDM Update Newsletter

The MDM update newsletter is your best source for news and trends in the wholesale distribution industry.

By subscribing, you are agreeing to MDM’s Privacy Policy.

Subscribe to continue reading

MDM Premium Subscribers get:

  • Unlimited access to MDM.com
  • 1 year digital subscription, with new issues twice a month
  • Trends analysis, market data and quarterly economic updates
  • Deals on select store products and events

2

articles left

Want more Premium content from MDM?

Subscribe today and get:

  • New issues twice each month
  • Unlimited access to mdm.com, including 10+ years of archived data
  • Current trends analysis, market data and economic updates
  • Discounts on select store products and events

1

article
left

You have one free article remaining

Subscribe to MDM Premium to get unlimited access. Your subscription includes:

  • Two new issues a month
  • Access to 10+ years of archived data on mdm.com
  • Quarterly economic updates, trends analysis and market data
  • Store and event discounts

To continue reading, you must be an MDM Premium subscriber.

Join other distribution executives who use MDM Premium to optimize their business. Our insights and analysis help you enter the right new markets, turbocharge your sales and marketing efforts, identify business partners that help you scale, and stay ahead of your competitors.