Mon. Nov 18th, 2019

Hain Celestial sells rice brand for $342 million, lowers Brexit exposure

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Hain Celestial Group Inc.

HAIN, -1.89%

said Wednesday that it has sold the Tilda brand of basmati and specialty rice for $342 million in cash to Ebro Foods S.A., a deal that lowers Hain’s exposure to Brexit impact. “Tilda has been a strong business for us, primarily in the United Kingdom, and under new strategic ownership, we expect the brand to continue to thrive,” said Hain Celestial’s Chief Executive Mark Schiller in a statement. “In addition, this divestiture will enable us to reduce our exposure to marketplace disruption associated with the uncertainty of Brexit and additional future potential foreign currency fluctuations.” Hain says it will use a portion of the proceeds to pay down debt. The company is scheduled to report fiscal fourth-quarter earnings on Thursday. Hain Celestial shares edged up 0.4% in Wednesday premarket trading, and have gained 14.6% for the year to date. The S&P 500 index

SPX, -0.32%

is up 14.5% for 2019 so far.

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