Pentair To Acquire Manitowoc For $1.6 Bln

(RTTNews) - Pentair plc (PNR), a provider of water treatment and sustainable solutions, said it agreed to acquire Manitowoc Ice, a provider of commercial ice makers, for $1.6 billion. When adjusted for about $220 million of expected tax benefits, the net transaction value is about $1.38 billion.

Pentair expects to fund the acquisition with new debt that is anticipated to be investment grade. The transaction is expected to close in the second quarter of 2022.

Manitowoc Ice is a portfolio brand of Welbilt Inc. (WBT). Manitowoc Ice employs more than 800 team members and operates facilities in Manitowoc, Wis., Monterrey, Mexico and Hangzhou, China. Manitowoc Ice generated $308 million in revenue in 2021 with EBITDA margins of approximately 30%.

Not including Manitowoc Ice, Pentair reiterated its 2022 GAAP earnings per share guidance of approximately $3.54 to $3.64 and on an adjusted basis of approximately $3.70 to $3.80.

Not including Manitowoc Ice, the company continues to anticipate full year 2022 sales to be up approximately 6 to 9 percent on a reported basis compared to full year 2021.

In addition, the Company reiterated its first quarter 2022 GAAP earnings per share of approximately $0.76 and on an adjusted earnings per share basis of approximately $0.80. The Company expects first quarter sales to be up approximately 7 to 11 percent on a reported basis compared to first quarter 2021.