The BFD: BlueTriton and Primo Water merge
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BlueTriton, parent of bottled water brands like Poland Spring, agreed to an all-stock merger with Primo Water (NYSE: PRMW), a provider of water dispensers and refill stations.
Why it's the BFD: The combined company will have revenue and EBITDA of $6.5 billion and $1.3 billion, respectively, Richard writes.
Zoom in: As a result of the deal, the company will become a publicly listed company on the New York Stock Exchange.
- BlueTriton shareholders will own 57% of the shares, while Primo Water shareholders will own 43%.
- The shares of Primo Water — which had a market cap of nearly $3.6 billion as of Friday's close — will no longer be listed.
- The deal, which is subject to shareholder approval and antitrust review, is expected to close in the first half of 2025.
By the numbers: The newly created entity estimates to achieve synergies of $200 million, boosting EBITDA to $1.5 billion.
- Primo Water's stock was up about 10% on news of the deal Monday.
Catch up quick: BlueTriton is the former North American water division of Nestlé, which the CPG group sold in 2021 to One Rock Capital Partners and Metropoulos & Co. for $4.3 billion.
- It includes bottle water brands Deer Park, Ozarka, Ice Mountain, Zephyrhills, Arrowhead, Origin, Saratoga, AC+ION, Pure Life, B'EAU and Splash Refresher.
- BlueTriton also owns ReadyRefresh, a reuse and refill platform for homes and offices in the U.S.
- Late last year Primo Water sold most of its overseas business, including Europe and the Middle East, to Culligan International for $575 million.
The intrigue: Dean Metropoulos, who has been behind investments including Hostess and Pabst Blue Ribbon, will be chairman of the combined company.
