April 17, 2018 / 8:21 PM / 3 months ago

BRIEF-Scottsmiracle-Gro To Acquire Sunlight Supply

April 17 (Reuters) - Scotts Miracle-Gro Co:

* SCOTTSMIRACLE-GRO TO ACQUIRE SUNLIGHT SUPPLY INC., MARKING MAJOR STEP FORWARD IN THE EVOLUTION OF THE HAWTHORNE GARDENING COMPANY

* TRANSACTION VALUED AT $450 MILLION

* SUNLIGHT MANAGEMENT EXPECTED TO JOIN SCOTTSMIRACLE-GRO UPON COMPLETION OF TRANSACTION

* IN FISCAL 2018, TRANSACTION IS EXPECTED TO BE DILUTIVE BY $0.30 TO $0.40 PER SHARE ON A NON-GAAP ADJUSTED BASIS

* TERMS OF DEAL CALL FOR CO TO PAY $425 MILLION IN CASH AND $25 MILLION IN SMG EQUITY TO SUNLIGHT SUPPLY

* SCOTTS MIRACLE-GRO - COMBINED CO WILL HAVE ANNUALIZED SALES OF ABOUT $600 MILLION AND DIRECTLY SERVICE MORE THAN 1,800 HYDROPONIC RETAIL STORES IN NORTH AMERICA

* SCOTTS MIRACLE-GRO - BENEFITS FROM TRANSACTION ARE EXPECTED TO IMPROVE YEAR-OVER-YEAR NON-GAAP ADJUSTED EARNINGS BY $0.60 TO $0.80 PER SHARE IN FY 2019

* SCOTTS MIRACLE-GRO - SET A GOAL FOR HAWTHORNE TO ACHIEVE SEGMENT PROFIT OF ABOUT $120 MILLION, OPERATING PROFIT MARGIN OF 17- 18 PERCENT BY END OF FISCAL 2020 Source text for Eikon: Further company coverage:

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