Preview Newsletter
Hershey Trust 8/25
-
Hershey Trust to sell 4.5 mln shares of Hershey Co
Aug 23, 2017 | Reuters
Hershey Trust Co, the charitable trust which controls chocolate maker Hershey Co, said on Wednesday it would sell 4.5 million shares of Hershey's common stock. -
Hershey Trust Company to sell 4.5 million shares of Hershey Company stock
Aug 23, 2017 | PennLive
By Teresa Bonner
Hershey Trust Company announced the sale of 4.5 million shares of The Hershey Company common stock, with 3 million shares going to Morgan Stanley and 1.5 million shares being sold to The Hershey Company. -
Selling at the top? Hershey Trust unloads $475M in chocolate firm's stock
Aug 24, 2017 | Philadelphia Inquirer
By Bob Fernandez
The Hershey Trust for impoverished students has sold about $475 million in chocolate company stock, modestly diversifying the charity’s chocolate-rich assets as changing consumption and retail trends are creating headwinds for the U.S. candy sector. -
Hershey Trust Co Sells Shares
Aug 25, 2017 | FSM Financial Stock Market
By Bryan Murphy
Hershey Trust Company, the charitable trust which controls chocolate maker Hershey Co, publicized the sale of 4.5 million shares of The Hershey Company common stock, with 3 million shares going to Morgan Stanley and 1.5 million shares being sold to The Hershey Company. -
Early movers: TIF, DLTR, ANF, SHLD, HRL, SIG, CMG, SJM, DKS & more
Aug 24, 2017 | CNBC
By Peter Schacknow
Hershey — Some 4.5 million Hershey shares will be sold by the Hershey Trust, which controls the chocolate maker. Three million of the shares will be sold to Morgan Stanley, the rest to Hershey itself. The company will pay $106 per share, compared to yesterday's close of $107.44. -
Deals of the day-Mergers and acquisitions
Aug 24, 2017 | Reuters
** Hershey Trust Co, the charitable trust which controls chocolate maker Hershey Co, said on Wednesday it would sell 4.5 million shares of Hershey's common stock. -
Hershey (HSY) Trust Sale of 4.5M Shares Suggests No Near or Medium Term M&A, Susquehanna Says; PT to $115
Aug 24, 2017 | Street Insider
Susquehanna analyst Pablo Zuanic lowered his price target on Hershey (NYSE: HSY) to $115.00 (from $117.00) while maintaining a Neutral rating, saying the sale by The Hershey Trust of 4.5 million shares, or 6% of its stake, back to the company indicator that the new Trust has other priorities on its hands and that it is unlikely to look at strategic alternatives for its stake in HSY in the near or medium term. -
Hershey Trust sells millions of HSY shares
Aug 24, 2017 | Seeking Alpha
By Yoel Minkoff
Hershey Trust, the charitable trust which controls the chocolate maker, is selling 4.5M shares of Hershey (NYSE:HSY) common stock. -
Hershey Trust Company to sell 4.5 million shares of Hershey Company stock
|
-
Worldwide Exchange US Breaks
Aug 24, 2017 | CNBC
VIDEO LINK: http://app.criticalmention.com/app/#clip/view/29012117?token=fbcb5625-a228-4abc-98ce-260c0f210c6f Rough Transcript: "Hershey trust plans sell 4.5 million shares of the hershey company the trussell trust controls the chocolate maker selling three million shares to morgan stanley one point five million back to the hershey company a move the share price that's approximate."
Traditional Media Coverage
Broadcast Media Coverage
-
Hershey Trust to sell 4.5 mln shares of Hershey Co
Aug 23, 2017 | Reuters
Hershey Trust Co, the charitable trust which controls chocolate maker Hershey Co, said on Wednesday it would sell 4.5 million shares of Hershey's common stock.
The trust said it would sell 3 million Hershey's shares to Morgan Stanley and an additional 1.5 million shares to Hershey Company.
Hershey, the maker of Reese's Peanut Butter Cups and Hershey's Kisses, said in a separate statement that it will buy the 1.5 million stock from the trust for $106 per share, or about $159 million.
Hershey's stock closed at $107.44 on Wednesday.
Hershey rejected a $23 billion bid last summer from Oreo cookie owner Mondelez, as the Hershey Trust, which can veto a deal, was embroiled in a row with its overseer that resulted in departures at the trust and Hershey's board.
Earlier this year, The Hershey Trust added former Goldman Sachs partner James Katzman to its ranks.
The trust had also added Melissa Peeples-Fullmore, a Milton Hershey School alumnus and education professional, and Jan Loeffler Bergen, a trained social worker and chief executive officer of non-profit health provider Lancaster General Health as Hershey trustees.
-
Hershey Trust Company to sell 4.5 million shares of Hershey Company stock
Aug 23, 2017 | PennLive
By Teresa Bonner
Hershey Trust Company announced the sale of 4.5 million shares of The Hershey Company common stock, with 3 million shares going to Morgan Stanley and 1.5 million shares being sold to The Hershey Company.
The trust company is trustee of the Milton Hershey School Trust, which funds the Milton Hershey School. Eric Henry, CEO of Hershey Trust Company, said the good performance of the company over the years had resulted in an increase concentration of The Hershey Company stock in the school trust portfolio.
The sale, the trust company said, will allow diversification of the school trust assets, while retaining its majority voting control in The Hershey Company.
The school trust will continue to own 60.6 million shares of The Hershey Company B stock and 8 million common shares, providing the Trust with almost 80 percent of the total shareholder vote.
Michelle Buck, president and CEO of the confectionary company, said in a news release that the company would pay about $159 million, or $106 per share, to buy back the stock.
The buyback, she said in a news release, reflects the company's confidence in its marketplace position and long-term growth potential.
Hershey's stock closed at $107.44 on Wednesday.
-
Selling at the top? Hershey Trust unloads $475M in chocolate firm's stock
Aug 24, 2017 | Philadelphia Inquirer
By Bob Fernandez
The Hershey Trust for impoverished students has sold about $475 million in chocolate company stock, modestly diversifying the charity’s chocolate-rich assets as changing consumption and retail trends are creating headwinds for the U.S. candy sector.
The deal allows the charitable trust to realign its portfolio after a run-up in Hershey Co. stock but also indicates that the trust is not looking for a merger or acquisition after rejecting the Mondelez International Inc. takeover offer last year.
The Hershey Trust, which includes a state-chartered bank that manages the $13.8 billion in charitable assets for the Milton Hershey School, said on its web site after the market closed on Wednesday that it had sold shares back to the Hershey Co. for $106 a share. The chocolate company separately announced the deal on Wednesday evening.
The Hershey Trust Co. also sold 3 million shares to Morgan Stanley but did not disclose the price for those shares.
The stock sales represented about six percent of the trust’s $7.8 billion stake in the chocolate company. And the charity will retain 80 percent voting control over the Fortune 500 corporation.
“We are confident and firm supporters of the Hershey Company and its management team as they successfully position the company for sustainable growth and value,” said Velma Redmond, chairman of the Hershey Trust Co. board.
Milton and Catherine Hershey bequeathed the family fortune in the early 20th century to the trust to finance what was then the Hershey orphanage and trade school, now the Milton Hershey School. The kindergarten-through-12 institution — which has been plagued by infighting and disputes over its mission over the last two decades — is the richest private school in the United States.
The Hershey Co. rejected a takeover bid by Mondelez International Inc. for a reported $115-a-share in 2016. Hershey and other legacy packaged-food companies, among them Campbell Soup, have experienced slower sales growth as consumers shop for healthier choices.
Nestle, one of world’s largest global chocolate company, said in June that it was considering a sale of its American candy business, the home of treats that include Gobstoppers, Nerds and Butterfinger and Crunch bars as demand for sweets has fallen off in the United States.
In February, Hershey itself announced a 15-percent cutback in its global workforce — eliminating about 2,700 workers — as it seeks to cut costs amidst slow sales growth. The company also has said it will innovate in its retail packaging and over time cut calories in its single-sale candy bars.
Hershey stock was down 1 percent in trading by mid afternoon Thursday at $106.37 a share.
“We see more downside than upside in the near term for [Hershey Co.] shares,” Pablo Zuanic, analyst with Bala Cynwyd-based Susquehanna Financial Group, wrote in a note on Thursday. “We would not recommend owning the stock on the assumption the trust will consider radical strategic changes.”
Even with the stock sale, roughly 50 percent of the trust’s assets will be concentrated in Hershey Co. stock through both common and super-voting shares, according to data.
“Hershey Trust Company has an active history of managing the investment portfolio on behalf of the Milton Hershey School Trust,” Eric Henry, chief executive officer of the Hershey Trust Co., said in a statement. “The concentration of The Hershey Co. stock in our overall portfolio has increased over the years because of the exceptional performance of The Hershey Company and the corresponding stock value.”
-
Aug 25, 2017 | FSM Financial Stock Market
By Bryan Murphy
Hershey Trust Company, the charitable trust which controls chocolate maker Hershey Co, publicized the sale of 4.5 million shares of The Hershey Company common stock, with 3 million shares going to Morgan Stanley and 1.5 million shares being sold to The Hershey Company.
The Hershey Company, one of the largest chocolate manufacturers in North America, said in a separate statement that it will buy the 1.5 million shares from the trust for $106 per share, or about $159 million.
Hershey Trust Company is a trustee of the Milton Hershey School, which under Milton and Catherine Hershey’s 1909 Deed of Trust funds the Milton Hershey School. Eric Henry, CEO of Hershey Trust Company, said the good performance of the company over the years had led to a rise concentration of The Hershey Company stock in the school trust portfolio.
The sale will allow diversification of the school trust assets, while keeping its majority voting control in The Hershey Company.
“This share buyback reflects our confidence in the Hershey’s marketplace position, long-term growth potential and strong operating cash flow generation,” said Michele Buck, President and Chief Executive Officer, The Hershey Company.
“Participating at this level is consistent with our capital allocation priorities and gives Hershey continued flexibility to invest in our brands and in the capabilities that give us a competitive edge at retail and with consumers. Our solid financial profile and strong operating cash flow give us many options to grow our business and create value for our stockholders.”
The school trust will continue to own 60.6 million shares of The Hershey Company B stock and 8 million common shares, providing the Trust with almost 80% of the total shareholder vote. Before the show, the common shares, although providing a slightly higher dividend of 66 cents a share versus 60 cents a share for class B stock, only gave the School Trust approximately 1% of the total shareholder vote.
Last summer, Hershey declined to a $23 billion bid from Oreo cookie owner Mondelez, as the Hershey Trust, which can reject a deal, was involved in a row with its overseer that resulted in departures at the trust and Hershey’s board.
Earlier this year, The Hershey Trust added former Goldman Sachs partner James Katzman to its ranks.
The trust had also added Melissa Peeples-Fullmore, a Milton Hershey School alumnus and education professional, and Jan Loeffler Bergen, a trained social worker and CEO of nonprofit health provider Lancaster General Health as Hershey trustees.
“We are confident and firm supporters of The Hershey Company and its management team as they successfully position the company for sustainable growth and value,” said Velma Redmond, Chairman of Hershey Trust Company Board of Directors.
“The trust’s investment in The Hershey Company stock continues to be an important asset as we continue our work to carry on Milton and Catherine Hershey’s legacy to educate disadvantaged children in perpetuity.”
The Hershey Company runs as a confectionery company in the U.S. engaged in the chocolate industry. It is known for bringing sweetness to the world through its chocolate, sweets, mints, and other good-tasting snacks. The firm has more than 80 brands, including Hershey’s, Reese’s, Hershey’s Kisses, Jolly Rancher, Kit Kat, Twizzlers, and Ice Breakers with a business presence around the world.
Headquartered in Hershey, Pennsylvania, The Hershey Company employs approximately 18,000 people, and is currently under the governance of CEO Michele G. Buck.
On Wednesday, Hershey’s stock gained 0.32% to closed at $107.
-
Early movers: TIF, DLTR, ANF, SHLD, HRL, SIG, CMG, SJM, DKS & more
Aug 24, 2017 | CNBC
By Peter Schacknow
Tiffany – The luxury goods retailer earned 92 cents per share for the second quarter, six cents a share above estimates. Revenue also beat forecasts, but comparable-store sales fell one percent compared to forecasts for a 0.2 percent drop.
Dollar Tree – The discount retailer reported quarterly profit of 98 cents per share, 11 cents above estimates. Revenue was also above forecasts, and the company also raised its sales forecast. Dollar Tree was helped by lower costs and fewer promotions. ons.
Abercrombie & Fitch – The apparel retailer lost an adjusted 16 cents per share for its latest quarter, less than half the 33-cent-a-share consensus estimate. Revenue beat forecasts, and comparable-store sales fell a less-than-expected one percent. Abercrombie said it expects the retail apparel market to remain "challenging" and "promotional" during the remainder of the year.
Sears Holdings – The retailer lost $1.16 per share for the second quarter, better than the $2.48-per-share loss expected by the single analyst who covers Sears. Revenue beat forecasts, but a comparable-store sales drop of 11.5 percent was larger than the Thomson Reuters consensus for a 7.1 percent drop. Sears said the last month of the quarter was the best of that three-month period for comparable sales.
Hormel – The maker of Spam, Dinty Moore, and other food brands fell three cents a share short of estimates, with quarterly profit of 34 cents per share. Revenue also missed forecasts and the company cut its full-year forecast due to high commodity price volatility.
Signet Jewelers – The jewelry retailer earned $1.33 per share for its latest quarter, well above estimates of $1.04 a share. Revenue was above forecasts, and comparable-store sales increased by 1.4 percent. Analysts had been forecasting a 3.8 percent decline in same-store sales.
Chipotle Mexican Grill – The restaurant chain's stock was upgraded to "equal weight" from "underweight" at Stephens, which points to current valuation and low expectations. Stephens believes moves to boost soft sales could be successful and give a positive bounce to the stock.
J.M. Smucker – Smucker fell 11 cents a share shy of estimates, with adjusted quarterly profit of $1.51 per share. Revenue fell short of expectations, as well. The company points to softness in the retail consumer foods and coffee segments. Smucker also cut its full-year forecast due to weakness in the coffee segment.
Dick's Sporting Goods – Cowen downgraded the sporting goods retailer to "market perform" from "outperform," saying it had overestimated the company's ability to achieve its prior guidance and maintain its profitability. Cowen points to a number of headwinds for Dick's, including increasing digital competition and the negative side of industry cyclical trends.
Teva Pharmaceutical – Credit Suisse downgraded the drugmaker's stock to "underperform" from "neutral," saying pricing pressure and more intense U.S. generic competition would continue to be headwinds for the foreseeable future.
HP Inc. - The computer and printer maker beat estimates by a penny a share, with adjusted quarterly profit of 43 cents a share. Revenue also beat forecasts, although HP's current-quarter earnings outlook falls slightly below consensus estimates. HP's most recent results were driven by improved sales of personal computers.
Williams-Sonoma – Williams-Sonoma reported quarterly earnings of 61 cents per share, two cents a share above estimates. The housewares retailer's revenue matched forecasts, and the company gave upbeat guidance for the current quarter.
PVH – PVH beat Street forecasts by five cents a share, with adjusted quarterly profit of $1.69 per share. The parent of Calvin Klein, Tommy Hilfiger, and other apparel brands also saw revenue beat estimates and the company raised its full-year guidance.
Guess – Guess nearly doubled analyst estimates with adjusted quarterly profit of 19 cents per share. The Street had forecast the clothing retailer's profit to come in at 10 cents per share. Guess also saw revenue easily surpass expectations, although it did give mixed current-quarter guidance. The company said cost reductions and stronger Europe and Asian sales are helping its bottom line.
Beacon Roofing Supply – Beacon is buying the U.S. distribution business of Irish building materials maker CRH for $2.63 billion in cash. Beacon is North America's largest publicly traded roofing and building products distributor, while CRH is the world's third largest building materials supplier.
AstraZeneca – The company's blood-thinning drug Brilinta saw positive results in a trial aimed at winning approval for extended use of the drug. The trial saw the drug reduce the risk of heart disease-related death by 29 percent in patients who had suffered heart attacks in the past.
Ford – Ford appointed Jason Luo as the new head of its China operations. Luo had been Chief Executive Officer of auto parts maker Key Safety Systems.
Amazon.com – Amazon's deal to buy Whole Foods Market won Federal Trade Commission clearance, just a few hours after Whole Foods shareholders approved the deal.
General Electric – GE has resumed talks to sell its industrial solutions unit to Switzerland engineering company ABB, according to a Reuters report. Reuters said the talks resumed after GE scaled back its expectations of the unit's value in a deal.
Raytheon, Lockheed Martin – The defense contractors won separate $900 million contracts from the Air Force to continue their work on next generation nuclear cruise missiles.
Hershey — Some 4.5 million Hershey shares will be sold by the Hershey Trust, which controls the chocolate maker. Three million of the shares will be sold to Morgan Stanley, the rest to Hershey itself. The company will pay $106 per share, compared to yesterday's close of $107.44.
-
Deals of the day-Mergers and acquisitions
Aug 24, 2017 | Reuters
The following bids, mergers, acquisitions and disposals were reported by 1300 GMT on Thursday:
** Thomas Cook's German leisure airline Condor and Lufthansa are interested in taking on a number of planes from insolvent Air Berlin, sources familiar with the negotiations said.
** Deutsche Post DHL has agreed to sell its British outsourcing subsidiary Williams Lea Tag to private equity group Advent International to focus on its core logistics service business, the two companies said.
** Saudi Aramco and Saudi Basic Industries Corp (SABIC) have launched bidding for engineering work on their joint crude oil to chemicals project, industry sources said, a key step towards developing the $20-billion-plus complex.
** A consortium that includes Western Digital is offering 1.9 trillion yen ($17.4 billion) for Toshiba Corp's memory chip business, which the Japanese conglomerate is trying to sell to cover losses from its U.S. nuclear business, sources said.
** Phoenix Group, Britain's largest owner of closed life assurance funds, is considering buying some of the bulk annuity portfolios that have come on the market in recent months, it said.
** Mitsui Sumitomo Insurance Company (MSI) is acquiring Singapore's First Capital Insurance for $1.6 billion from Canada's Fairfax Financial Holdings, in the biggest takeover by a Japanese insurer in populous Southeast Asia - a key target region for global players.
** Irish building materials firm CRH has sold its U.S. distribution business to Beacon Roofing Supply Inc. for $2.63 billion in cash and will use the proceeds to continue an acquisition spree elsewhere, it said.
** Chinese state-owned food group COFCO, which fully acquired Dutch-based grains trader Nidera in February after a three-year takeover, is considering a sale of Nidera's Latin American seeds business, according to people familiar with its plans.
** Russian bank Otkritie has sold its 19.8-percent stake in Cyprus-based Russian Commercial Bank and will use the proceeds to fund the development of its retail business in Russia, Otkritie said.
** Amazon.com Inc on Wednesday cleared two of the biggest hurdles it needed to close its $13.7 billion acquisition of Whole Foods Market Inc, with approvals from a U.S. regulator and the grocery chain's shareholders.
** Australia's antitrust regulator cleared a consortium led by News Corp Co-Chairman Lachlan Murdoch to buy free-to-air television broadcaster Ten Network Holdings Ltd , saying the move would not harm competition.
** Russian oil firm Rosneft has struck deals with several buyers for almost its entire quota of Venezuelan crude for the remainder of the year, traders told Reuters on Wednesday, the first time it has conducted such a large sale of the OPEC member's oil.
** General Electric Co has resumed negotiations to sell its industrial solutions business to Swiss engineering company ABB Ltd, after the U.S. industrial conglomerate moderated its price expectations, people familiar with the matter said.
** Hershey Trust Co, the charitable trust which controls chocolate maker Hershey Co, said on Wednesday it would sell 4.5 million shares of Hershey's common stock.
** Cubic Telecom, a supplier of data connections for cars and other "internet of things" devices, said it has closed a new $46.5 million (39.4 million euros) funding round from investors including chipmaker Qualcomm and Audi's venture arm.
-
Aug 24, 2017 | Street Insider
Susquehanna analyst Pablo Zuanic lowered his price target on Hershey (NYSE: HSY) to $115.00 (from $117.00) while maintaining a Neutral rating, saying the sale by The Hershey Trust of 4.5 million shares, or 6% of its stake, back to the company indicator that the new Trust has other priorities on its hands and that it is unlikely to look at strategic alternatives for its stake in HSY in the near or medium term.
The sale dilutes the Trust's economic interest to 32.3% from 34.3%, but its voting interest changes little (from 81.5% to 81%), Zuanic notes.
"Certainly, maximizing the value of the HSY stake is not at the top of the agenda for the Trust," Zuanic comments. "With lackluster top line trends, candy category challenges (and on the margin new competition from MDLZ in the US), and down -5% in the last three months (vs. +2% for SPX and -1% for S5CONS), we see more downside than upside in the near term for HSY shares. We would not recommend owning the stock on the assumption the Trust will consider radical strategic changes in the medium term (sale or merger of HSY)."
-
Hershey Trust sells millions of HSY shares
Aug 24, 2017 | Seeking Alpha
By Yoel Minkoff
· Hershey Trust, the charitable trust which controls the chocolate maker, is selling 4.5M shares of Hershey (NYSE:HSY) common stock.
· 3M of those shares are earmarked for Morgan Stanley and an additional 1.5M shares will be scooped up by the confectionery company.
· The sale will allow diversification of the trust's school trust assets, while retaining its majority voting control in Hershey.
-
Hershey Trust Company to sell 4.5 million shares of Hershey Company stock
|
-
Aug 24, 2017 | CNBC
VIDEO LINK: http://app.criticalmention.com/app/#clip/view/29012117?token=fbcb5625-a228-4abc-98ce-260c0f210c6f
Rough Transcript: "Hershey trust plans sell 4.5 million shares of the hershey company the trussell trust controls the chocolate maker selling three million shares to morgan stanley one point five million back to the hershey company a move the share price that's approximate."
Traditional Media Coverage
Broadcast Media Coverage
Add recipients
Suggested