Sonoco Prod Stock Price, News & Analysis

Sonoco Products Company (NYSE: SON) has announced an agreement to sell its Thermoformed and Flexibles Packaging (TFP) business to TOPPAN Holdings Inc. for approximately $1.8 billion on a cash-free and debt-free basis. The transaction is expected to close in the first half of 2025, subject to regulatory approvals. The net proceeds will be used to repay existing debt.

This strategic move aims to simplify Sonoco's portfolio, streamline organizational structure, and enable more focused capital investments in their remaining industrial paper and consumer packaging businesses. The company will work with Toppan to ensure a smooth transition for employees, customers, and suppliers.

Sonoco Products Company (NYSE: SON) has completed its acquisition of Eviosys, Europe's leading food cans, ends and closures manufacturer, from KPS Capital Partners. The acquisition, which was initially announced on June 24, 2024, aligns with Sonoco's portfolio transformation strategy aimed at simplifying and repositioning the company for long-term growth and value creation.

Following the integration process, Eviosys will be incorporated into Sonoco's Consumer Packaging segment and will transition to the Sonoco brand in the coming months.

Sonoco (NYSE: SON) reported Q3 2024 financial results with net sales of $1.7 billion, GAAP net income of $51 million, and Adjusted EBITDA of $281 million. The company achieved diluted EPS of $0.51 and Adjusted diluted EPS of $1.49. Key highlights include $39 million in productivity improvements and $438 million operating cash flow for the first nine months. Sonoco announced the pending acquisition of Eviosys for €3.6 billion, secured financing through term loans and senior notes, and initiated strategic reviews of its TFP and ThermoSafe businesses. The company reaffirmed its full-year 2024 guidance with Adjusted EPS of $5.05-$5.25 and operating cash flow of $650-750 million.

Sonoco Products Company (NYSE: SON), a global sustainable packaging company, has scheduled its third quarter 2024 earnings release for Thursday, October 31, 2024, after market close. The company will host a conference call to discuss the results on Friday, November 1, 2024, at 8:30 a.m. Eastern Time. A live audio webcast with supporting materials will be available on Sonoco's Investor Relations website, with a replay accessible for at least 30 days following the call. Interested participants can register in advance for telephone access.

Sonoco (NYSE: SON) has declared a $0.52 per share quarterly common stock dividend, payable on December 10, 2024, to shareholders of record as of November 8, 2024. This marks the 398th consecutive quarter and 99th year of dividend payments by the company, dating back to 1925. It also represents the 41st consecutive year of increased annualized dividends.

President and CEO Howard Coker highlighted that based on the closing price of Sonoco's common stock on October 14, 2024, the dividend provides an approximate 3.8% yield. This yield is more than double that of the S&P 500 Index, demonstrating Sonoco's commitment to shareholder value.

Sonoco Products Company (NYSE: SON) has announced the pricing of $1.8 billion in senior unsecured notes. The offering includes three tranches: $500 million at 4.450% due 2026, $600 million at 4.600% due 2029, and $700 million at 5.000% due 2034. The closing is expected on September 19, 2024. Sonoco plans to use the net proceeds, along with borrowings from acquisition term loan facilities and possibly cash on hand or additional credit facility borrowings, to fund the cash consideration for its pending acquisition of Eviosys and related expenses. The offering is being managed by J.P. Morgan Securities, Morgan Stanley & Co., BofA Securities, and Wells Fargo Securities.

Sonoco Products Company (NYSE: SON) has announced a strategic review of its Thermoformed & Flexible Packaging (TFP) business, part of its Consumer Packaging segment. This move aims to accelerate portfolio simplification, improve pro forma leverage, and increase shareholder value. The TFP business, a market leader in thermoformed and flexible packaging, generated $1.3 billion in revenue in 2023.

As a result of this expanded divestiture plan, Sonoco has modified its financing strategy for the pending Eviosys acquisition. The company now plans to use a combination of prepayable debt, longer-term bond financing, and/or cash on hand, eliminating the need for equity issuance. Sonoco expects to complete the strategic review of TFP in the fourth quarter of 2024.

Sonoco Products Company (NYSE: SON) reported its Q2 2024 financial results. Key highlights include:

• GAAP net income of $91 million, down 21% year-over-year
• Adjusted EBITDA of $262 million, down 5%
• Diluted EPS of $0.92, down 21%
• Adjusted EPS of $1.28, down 7%
• Net sales decreased 5% to $1.6 billion
• Strong productivity of $51 million in Q2, $102 million in H1 2024
• Free Cash Flow of $96 million in H1 2024

Sonoco announced an agreement to acquire Eviosys for $3.9 billion, expected to close in Q4 2024. The company reaffirmed its full-year 2024 guidance for Adjusted EBITDA, Adjusted EPS, and operating cash flow, excluding the Eviosys acquisition impact.

Paired Power has installed its PairTree EV charger for Sonoco (NYSE: SON), a global packaging manufacturer, in South Carolina. The PairTree is an off-grid solar electric vehicle charger that combines battery storage with solar power for day and night charging. It can provide emergency backup power during grid outages and reduce grid dependence.

Key features of PairTree include:

• U.S.-made solar canopy
• Quick installation (less than a day)
• Wind-rated up to 130 mph
• Fits standard 9x18 foot parking space
• No moving parts or ongoing maintenance
• One or two Level 2 EV charging ports

This installation aligns with Sonoco's commitment to sustainability and provides resilient, clean energy for employees with electric vehicles.