7/23/2010
Pittsburgh, PA - Eckert Seamans represented Snyder’s of Hanover, Inc. in a merger of equals with Lance Inc., resulting in the formation of the second-largest salty snacks company in the United States, behind Frito-Lay. The combined corporation will be known as Snyder’s-Lance Inc.
Under the proposed terms, shareholders in Snyder’s and Lance will each own roughly 50 percent of the merged company. Existing Lance and Snyder’s options will become options in the combined Snyder’s-Lance. In addition, existing shareholders of Charlotte-based Lance will receive a one-time $3.75 special cash dividend, contingent on the closing of the transaction.
The principal shareholders of privately held Snyder’s have agreed to vote in favor of the merger, and both companies’ boards are recommending approval of the merger to their shareholders. The transaction is expected to close this fall after all shareholder and regulatory approvals are secure.
Snyder’s-Lance projects combined net sales of $1.6 billion. The combination is expected to generate more than $30 million in annualized savings. The market capitalization of the new company is valued at approximately $1.4 billion. Notably, the Lance stock jumped over 33% the day after the merger was announced (July 22).
Snyder’s of Hanover, Inc. is a long-standing client of Eckert Seamans Member C. Peter Carlucci, Jr., Chair of the firm's Public Finance Group. “We are very pleased to have helped Snyder's successfully pursue this unique opportunity to combine with Lance,” said Mr. Carlucci. "The firm assembled a multi-disciplinary team comprised of attorneys from various offices and practice areas to assist Snyder's with getting the deal done, an accomplishment that I am particularly proud of," he added.
The cross-office, cross-functional Eckert Seamans team was led by Members Jack Kearns, Kate English, Mark Fontana, Peggy Heminger, Eileen Iorio, Ed Kuna, Joel Lennen, Briar McNutt, Gary Miller, Dave Radack and Rick Wiedman; Associates Jenn Caviness, Elizabeth Colombo, Jessica Sharrow and Liz Simon; and supported by staff members Barb Kidder, Mike Sally and Cindy Woolheater.
About Eckert Seamans Cherin & Mellott
Eckert Seamans Cherin & Mellott, LLC (www.eckertseamans.com), a national law firm with ten offices throughout the eastern United States, provides a full range of legal services nationwide to businesses of all sizes, institutions, municipalities, colleges and universities, government agencies and individuals. Its practice areas encompass litigation, including mass tort and products liability litigation, corporate and business law, intellectual property law, labor and employment relations, aviation law, bankruptcy and restructuring, employee benefits, environmental law, construction law, municipal finance, real estate, and tax and estate law. Eckert Seamans has offices in Pittsburgh, Harrisburg, Philadelphia, West Chester and Southpointe, Pennsylvania; Wilmington, Delaware; Charleston, West Virginia; Boston, Massachusetts; Washington, D.C.; Richmond, Virginia and White Plains, New York.
For more information contact:
Kate Cromie
Marketing Manager
kcromie@eckertseamans.com
|
Mergers and Acquisitions
|
