Ann: Amcor Bemis Transaction, page-3

Amcor notes 'very positive' shareholder reaction to $9.2bn Bemis ... (The Australian)


I am think Ammcor management must have been talking to Bemis shareholders. This will be strongly EPS accretive for Bemis holders and is an incredibly good deal for them, being bought into a better quality company at slightly lower multiples as well. Unfortunately as an Amcor holder it has left me somewhat frustrated and questioning whether management has our best interests at heart. To my calculations this transaction will give Amcor increased scale, however, it will dilute both quality and EPS.

If I were a major holder I would be making some noises around this. The benign reaction from major holders has been surprising in my opinion.