Skip to main content Exclusive news, data and analytics for financial market professionalsLearn more aboutRefinitiv Italy's Leonardo expects aerostructures joint- venture deal by end of June February 25, 20265:25 PM UTCUpdated ago By Reuters ROME, Feb 25 (Reuters) - Italian defence group Leonardo (LDOF.MI), opens new tab expects to sign a joint- venture accord for its aerostructures unit by the end of June, its CEO said on Wednesday, in a protracted deal that could finally allow the loss-making unit to take ...

Financial Data and Key Metrics Changes - First quarter revenue of Griffon Corporation was $649 million, reflecting a 3% increase compared to the prior year quarter [11] - Adjusted EBITDA before unallocated amounts was $145 million, consistent with the prior year, resulting in an EBITDA margin of 22.3% [11] - GAAP net income for the first quarter was $64 million, or $1.41 per share, down from $71 million, or $1.49 per share, in the prior year [12] - Free cash flow for the quarter was $99 million, indicating strong operational performance [3] Business Line Data and Key Metrics Changes - Home and Building Products (HBP) revenue increased by 3% year-over-year, with an EBITDA margin of 30.1% [3][13] - Consumer and Professional Products (CPP) revenue rose by 2%, with adjusted EBITDA increasing by 19% to $22 million, driven by price and mix improvements [4][14] Market Data and Key Metrics Changes - HBP revenue growth was supported by a 7% increase in price and mix, although offset by a 4% decline in residential volumes [13] - CPP experienced increased volumes in Australia and Canada, but faced reduced volumes in the US due to soft consumer demand [4] Company Strategy and Development Direction - The company announced a joint venture with ONCAP to create a leading global provider of hand tools and home organizational solutions, enhancing competitive positioning [6][8] - Strategic actions include a comprehensive review of alternatives for Ames Australia and the UK, and the combination of Hunter Fan with the HBP segment, aiming to streamline operations and enhance shareholder value [9][10] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about a recovery in residential and commercial markets, anticipating substantial leverage as activity improves [19] - The company remains committed to a capital allocation strategy focused on organic growth, share repurchases, dividends, and debt reduction [19] Other Important Information - The board authorized a quarterly dividend of $0.22 per share, marking the 58th consecutive quarterly dividend [5] - The company repurchased $18 million of stock during the quarter, with a total of $578 million repurchased since April 2023 [5][16] Q&A Session Summary Question: What was the thought process behind the timing of the joint venture? - Management noted a disconnect between market value and intrinsic value, believing the joint venture would unlock value and strengthen consumer businesses [25][26] Question: What is the expected contribution from the joint venture? - The second lien debt from the joint venture is at a 10% PIK rate, but net income from the joint venture is not expected to be material due to its private company status [29] Question: What is the revenue contribution from Hunter Fan? - Hunter Fan had $211 million in revenue in fiscal 2025, and margins are expected to remain above 30% after its integration into the HBP segment [35] Question: Why choose a joint venture instead of an outright sale? - A joint venture allows for unlocking substantial value now and in the future while maintaining a minority interest, which is seen as a better strategic fit [57] Question: What are the cash flow expectations for the remaining company? - The remaining company is expected to continue generating strong cash flow, with the first half of the year being more positive than in the past [64]

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Lands’ End and WHP Global announced an agreement to form a new joint venture to unlock the value of Lands’ End’s intellectual property while strengthening the Company’s balance sheet. The transaction delivers $300 million of gross cash proceeds to Lands’ End. To create the JV, Lands’ End will contribute all of its intellectual property and related assets associated with the “Lands’ End” brand, including all of the license agreements entered into in connection with Lands’ End’s licensing business, and WHP G ...

Quick Read Lands’ End (LE) received $300M from WHP Global for 50% of a joint venture. Most proceeds repay its $234M term loan. Lands’ End will pay minimum $50M annual royalties to the joint venture. This expense could pressure margins if growth disappoints. The stock jumped 33% from around $14 before the deal. The surge reduces margin of safety for new investors. Investors rethink ‘hands off’ investing and decide to start making real money Lands' End (NASDAQ:LE) stock jumped over 33% in early tra ...

Core Insights - Alcoa Corporation (AA) shares have increased by 93.5% over the past six months, outperforming the industry and S&P 500 growth rates of 81.8% and 13.1%, respectively [1] - The stock closed at $61.09, below its 52-week high of $65.01 but significantly above its low of $21.53, indicating strong upward momentum and market confidence [3] - Alcoa's performance is driven by strong demand for aluminum and alumina, higher aluminum prices, and tariffs that benefit domestic producers [7][9] Stock Performance - Alcoa's stock has shown solid performance, trading above both its 50-day and 200-day moving averages, reflecting positive market sentiment [3] - The company has outperformed peers such as Constellium SE (CSTM) and Ryerson Holding Corporation (RYI), which gained 40.1% and 14.7%, respectively, in the same period [1] Demand Drivers - The demand for aluminum has surged due to the rise in electric vehicles, recycled aluminum, and increased air travel, prompting aircraft manufacturers to increase production [8] - The U.S. administration's decision to raise tariffs on imported aluminum to 50% has further boosted domestic aluminum prices, benefiting Alcoa [9] Segment Performance - Alcoa's Aluminum segment reported a 1% increase in production to 579,000 metric tons in Q3 2025, with expectations of producing 2.3-2.5 million tonnes for the year [10][11] - The Alumina segment also saw a 4% production increase to 2,453 kilometric tons in Q3 2025, with anticipated production of 9.5-9.7 million tonnes for the year [12] Strategic Actions - Alcoa has made strategic acquisitions, including the purchase of Alumina Limited, enhancing its position in the bauxite and alumina market [13] - A joint venture with IGNIS EQT aims to improve production capacity at the San Ciprian site, with a restart expected by mid-2026 [14] Valuation and Earnings Estimates - Alcoa's forward 12-month price-to-earnings ratio stands at 13.28X, below the industry average of 13.53X, indicating an attractive valuation for investors [15] - Earnings estimates for 2025 have increased by 3.5% to $3.55 per share, while 2026 estimates surged by 51.6% to $4.61 per share [18] Investment Outlook - The strong momentum in Alcoa's segments, strategic growth initiatives, and favorable market conditions position the company for impressive growth [20] - Positive analyst sentiment and attractive valuation suggest it may be a good time for potential investors to consider Alcoa stock [20]

US-China Trade Relations & Geopolitics - The Chinese government's reaction to the TikTok deal has been muted, with state media quoting a professor stating the deal aligns with Chinese law, suggesting tacit approval [1][2] - The proposed TikTok deal, structured as a joint venture, may not include the algorithm, which is considered the most valuable asset, raising questions about its strategic significance [3][4] - China may be using the TikTok deal and soybean purchases as concessions to maintain a relationship with President Trump, potentially aiming to divide him from the broader US national security community [4][5][11][12][13] - The tariffs imposed by the US on China are expected to remain permanent, influencing the dynamics of trade negotiations and potentially prompting China to offer "gifts" to the US president [10] Technology Sector Impact - The Oracle shares are surging on the news [6] - The TikTok deal is viewed as a positive development for the technology sector, reinforcing the ongoing upgrade cycle and the importance of technology in modern life [7][8] - The agreement revives a trade that had soured for the last 10 days or so and it looks like we're back on track [8]

Core Viewpoint - TikTok's Chinese owner, ByteDance, has signed binding agreements with three major investors to form a joint venture for operating TikTok's U.S. app, aiming to avoid a government ban and resolve ongoing uncertainties [1][2]. Group 1: Joint Venture Details - The joint venture will be led by American and global investors, with ByteDance retaining a 19.9% stake while investors will hold an 80.1% stake [4]. - The new entity, named TikTok USDS Joint Venture LLC, will be managed by Oracle, Silver Lake, and Abu Dhabi-based MGX, who will collectively own 45% of the new venture [5][6]. - The joint venture is designed to operate independently, overseeing U.S. data protection, algorithm security, content moderation, and software assurance [5]. Group 2: Historical Context - This agreement marks a significant milestone for TikTok, which has over 170 million users in the U.S., following years of regulatory battles that began in August 2020 [2]. - The deal aligns with previous discussions regarding divestiture requirements set forth by U.S. law, which aimed to separate TikTok's U.S. operations from its Chinese ownership [3].

Core Insights - Kering and Ardian have finalized a joint venture agreement for a prominent property located at 715-717 Fifth Avenue, New York City, encompassing approximately 115,000 sq. ft (10,700 sq. m) of luxury retail space [2][3] - Kering will hold a 40% stake in the joint venture, while Ardian will hold 60%, with the transaction valued at USD 900 million (EUR 766 million) and net proceeds for Kering amounting to USD 690 million (EUR 587 million) [3][4] - This partnership enhances Kering's real estate portfolio management strategy and provides financial flexibility, while Ardian views this investment as a strategic expansion into the U.S. market [4][5] Company Overview - Kering is a global luxury group with a diverse portfolio of brands including Gucci, Saint Laurent, and Bottega Veneta, generating revenue of €17.2 billion in 2024 and employing 47,000 people [6] - Ardian is a diversified private markets firm managing or advising $196 billion for over 1,890 clients globally, focusing on providing investment solutions that adapt to new economic dynamics [9]

Core Insights - The establishment of xCelle Asia, a joint venture between AAR and AFI KLM E&M, aims to enhance service offerings for next-generation aircraft nacelles in the Asia-Pacific region [1][2][3] - xCelle Asia is positioned to provide maintenance, repair, and overhaul (MRO) services, including on-wing inspections and rotable support for various engine types [1][2] - The joint venture reflects a commitment to innovation, sustainability, and operational excellence, aiming to replicate the success achieved in the Americas [2] Company Overview - AAR is a global aerospace and defense aftermarket solutions provider with operations in over 20 countries, supporting both commercial and government customers through various segments [4] - AFI KLM E&M is a major multi-product MRO provider with a workforce of over 12,800, offering comprehensive technical support for nearly 3,000 aircraft operated by 200 airlines [5]