Sonoco Prod Stock Price, News & Analysis

On June 24, 2021, Sonoco-Alcore S.a.r.l. announced a price increase for all recycled paperboard grades in EMEA due to rising inflationary pressures. Effective July 1, 2021, these increases are a response to escalating costs related to energy, packaging, and freight, which the company has been absorbing throughout 2021. Phil Woolley, Division VP – Paper Europe, indicated that previous cost increases were only passed on concerning waste paper prices.

Sonoco (NYSE: SON) announced a price increase of at least 6% for all paperboard tubes and cores, effective from July 26, 2021, due to rising costs for uncoated recycled paperboard, which remains in tight supply. The company is also facing inflationary pressures in adhesives, packaging, and logistics. As the largest producer of paper-based tubes and cores in North America, Sonoco serves various industries, including paper and textiles. The company reported annual net sales of approximately $5.2 billion and strives to create sustainable packaging solutions.

Sonoco (NYSE: SON) announced a $50 per ton price increase for all grades of uncoated recycled paperboard (URB) in the U.S. and Canada, effective July 15, 2021. This decision is driven by strong demand, which has led to order backlogs reaching historical levels, and inflationary pressures from energy, freight, and materials. With annual net sales of approximately $5.2 billion, Sonoco continues to focus on sustainable packaging solutions and has received recognition as one of Fortune’s Most Admired Companies and Barron's 100 Most Sustainable Companies.

Sonoco (NYSE: SON) is expanding its recycling efforts, diverting approximately 3,300 tons of scrap materials annually from landfills by recycling them into 100% recycled paperboard at its three mills in the U.S. This initiative will equate to about 165 truckloads of materials, enhancing the company’s sustainability profile. The move demonstrates Sonoco's capability to recycle its EnviroCan paper containers through both the steel and paper streams. Sonoco is committed to increasing the volume of recycled packaging by 2025.

Sonoco ThermoSafe, a unit of Sonoco (NYSE:SON), has expanded its partnership with Cathay Pacific Cargo for leasing the innovative Pegasus ULD® temperature-controlled shipping container. This container is the first FAA and EASA-approved passive bulk solution for pharmaceuticals, ensuring efficient international transport at lower costs. The Pegasus ULD® features advanced composite materials for enhanced durability, along with a telemetry system for real-time monitoring of environmental conditions. This partnership aims to meet the growing demand for pharmaceutical distribution worldwide.

Sonoco (NYSE: SON) has announced the pricing terms for its cash tender offer to purchase up to $300,000,000 of its 5.75% Senior Notes due 2040. The offer commenced on April 28, 2021, and will expire on May 25, 2021. As of May 12, 2021, Sonoco will accept $63,206,000 of tendered notes, with an early settlement date set for May 13, 2021. The total consideration for validly tendered notes includes an early tender premium of $50 per $1,000 principal amount. Holders are urged to consult advisors regarding the tax and financial implications of the offer.

Sonoco (NYSE: SON) announced that as of May 11, 2021, $63.2 million of its 5.75% Senior Notes due 2040 have been tendered in a cash tender offer, with a total tender cap of $300 million. The offer began on April 28, 2021, and is set to expire on May 25, 2021. Investors who tendered before the early deadline will receive a premium of $50 per $1,000 principal along with accrued interest. The company retains the right to modify the terms of the offer, including the tender cap. Notably, Sonoco's tender offer is not conditioned on a minimum amount of notes being tendered.

Sonoco (NYSE: SON) has announced a $150 million accelerated share repurchase (ASR) agreement with Wells Fargo Bank, utilizing available cash. The initial repurchase will involve approximately 1.75 million shares, with final numbers to be based on the company’s share price during the repurchase period. This ASR aligns with Sonoco's $350 million share repurchase authorization approved on April 20, 2021, reflecting the company's strong financial position and commitment to returning cash to shareholders while investing in its core businesses.

Sonoco (NYSE: SON) announced a 9.5% price increase for all rigid paper containers and closures in North America, effective June 3, 2021. This decision, according to Ernest Haynes, is essential to address rapidly rising costs for key raw materials such as adhesives, laminate structures, recovered paper, and steel. The company aims to maintain supply continuity amidst supply chain challenges and inflationary cost pressures exacerbated by events like Winter Storm Uri. Sonoco operates globally, with annualized net sales of approximately $5.2 billion.