PALM BEACH GARDENS, Fla., Oct. 10, 2025 (GLOBE NEWSWIRE) -- ZimVie Inc. (“ZimVie”) (Nasdaq: ZIMV) today announced that at the special meeting of ZimVie stockholders held on October 10, 2025, the ZimVie stockholders voted to approve the acquisition of ZimVie by an affiliate of ARCHIMED (the “Merger”) pursuant to the terms and conditions of the Agreement and Plan of Merger, dated as of July 20, 2025 (the “Merger Agreement”). The parties now expect the Merger to close on October 20, 2025, subject to the satisf ...

Economic Overview - Economic uncertainty is affecting businesses and consumers in the U.S. due to ongoing tariff wars, yet the U.S. stock markets have reached record highs with a 14% year-to-date gain [1] - Analysts at Goldman Sachs suggest that investors should diversify their focus beyond a concentrated group of stocks that have driven market highs, as opportunities are emerging across various regions, sectors, and styles [2] FMCG Industry Insights - The global FMCG market is projected to grow at a compound annual growth rate (CAGR) of 3.8% from 2025 to 2032, reaching $18.96 trillion, driven by shifts in consumer behavior and technological innovations [5] - Companies in the FMCG sector are well-positioned to withstand economic challenges due to the consistent demand for their products, which are typically low-priced [4] Investment Strategy - The best FMCG stocks are characterized by prudent financial management, healthy balance sheets, and sustainable profit margins, allowing them to navigate market fluctuations while providing shareholder returns through dividends and buybacks [6] - A methodology was employed to identify top FMCG stocks, focusing on those with an upside potential of over 20% and popularity among elite hedge funds in Q2 2025 [8][9] Company Highlights - **Dollar General Corporation (NYSE:DG)**: Stock upside potential of 21.57%, with 55 hedge fund holders. The stock is viewed positively due to its underperformance relative to the sector and signs of operational improvement [10][11][12] - **Ingredion Incorporated (NYSE:INGR)**: Stock upside potential of 23.19%, with 34 hedge fund holders. The company anticipates sales growth of 2% to 4% over the next two years and a 7% to 9% CAGR in adjusted EPS through 2027 [14][15][16] - **Smithfield Foods Inc. (NASDAQ:SFD)**: Stock upside potential of 23.91%, with 27 hedge fund holders. The company recently confirmed a secondary public offering of 19.53 million shares priced at $23.35 each, with no proceeds going to Smithfield [17][18][19]

Financial Data and Key Metrics Changes - In Q2 2025, revenue was $340 million, down $79 million year-over-year. Operating loss was $1 million, a decline of $29 million compared to the prior year. Adjusted EBITDA was $28 million, a decrease of $40 million year-over-year [35][36][37] - Full year 2025 adjusted EBITDA guidance was revised to a range of $150 million to $160 million, implying second half EBITDA of approximately $105 million to $115 million [37] Business Line Data and Key Metrics Changes - In the cellulose specialties segment, net sales decreased by $33 million to $208 million, with a 3% increase in sales prices offset by a 15% decline in sales volumes. Operating income declined by $21 million year-over-year to $29 million [38] - The biomaterials segment saw net sales decline by $2 million year-over-year to $6 million, with adjusted EBITDA margin dropping to 17% from 25% in the prior year [39] - The paperboard segment's net sales decreased by $13 million year-over-year to $47 million, reflecting a 23% decline in sales volumes and a 3% decrease in prices [40] - The high yield pulp segment experienced a net sales decrease of $4 million year-over-year to $29 million, driven by an 11% decline in sales prices [41] Market Data and Key Metrics Changes - The company faced approximately $59 million in EBITDA headwinds in 2025, primarily from tariff-related uncertainty, foreign exchange losses, operational disruptions, and noncash environmental charges [6][7][8] - The cellulose specialty market is expected to grow, with industry analysts forecasting sustained annual price increases of approximately 4% to 6% [19] Company Strategy and Development Direction - The company plans to nearly double its EBITDA over the next two years, focusing on accelerating revenue growth, expanding margins, and achieving exceptional returns on strategic growth investments [5][6] - A divestiture of non-core paperboard and high yield pulp businesses is anticipated, transforming the company into a more focused entity on core businesses [17][18] - The company aims to capture market share growth opportunities in the cellulose specialties market, leveraging its excess capacity [18][19] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence that the extraordinary challenges faced in 2025 are largely behind them, with expectations for accelerating growth and profitability in subsequent quarters [6][8] - The company highlighted a strong liquidity position of approximately $202 million, including $71 million in cash, which supports its strategic initiatives without shareholder dilution [31] Other Important Information - The company is targeting around $10 million in corporate expense reductions and anticipates $20 million in operational savings from various initiatives [21] - The biomaterials initiative is expected to generate significant cash flows from high-value products, with a projected annual EBITDA contribution of $8 million to $10 million from the Tardis bioethanol project [25][26] Q&A Session Summary Question: Timeline for dissolving wood pulp fluff product approval for sale in China - Management indicated that trials are ongoing, and if successful, commercialization is expected as they approach 2026 [43][44] Question: Structural cost reduction initiatives and timing of execution at Temiscaming - Most of the $24 million capital for cost savings will be spent in 2025, with expected realization of $30 million in savings in 2026 [47][49] Question: Incremental EBITDA within cellulose specialties and capital deployment in 2027 - The $30 million growth is tied to the substitution of cellulose specialties for commodities, with a focus on high-return projects for capital deployment [56][64] Question: Confidence in ramping up biomaterials business and market share - Management expressed high confidence in ramping up construction and commercialization of biomaterials projects, with commercial agreements in place to support market entry [83][84]

Financial Performance & Challenges - RYAM reported Q2 2025 revenue of $340 million, a decrease of $79 million compared to Q2 2024[59] - The company's Adjusted EBITDA for Q2 2025 was $28 million, down $40 million from Q2 2024[59] - RYAM faces an Adjusted Free Cash Flow deficit of $(52) million year-to-date[59] - The company's 2025 EBITDA guidance is projected to be in the range of $150 million to $160 million[14, 59] Segment Performance - Cellulose Specialties reported Q2 2025 sales of $208 million with an Adjusted EBITDA of $46 million, representing a 22% margin[60] - Cellulose Commodities experienced a negative Adjusted EBITDA of $(2) million on sales of $59 million, with a margin of (3%)[69] - Paperboard sales were $47 million with an Adjusted EBITDA of $5 million, resulting in an 11% margin[75] - High-Yield Pulp reported sales of $29 million and a negative Adjusted EBITDA of $(7) million, with a margin of (24%)[80] Strategic Initiatives & Outlook - RYAM aims to restore Temiscaming's profitability, targeting a $35 million improvement and positioning it for potential divestiture in 2026[22] - The company anticipates a 2027 run-rate EBITDA of $308 million for its core business, excluding the AGE project[26] - RYAM expects to generate approximately $30 million of cumulative incremental EBITDA by 2027 by capturing Cellulose Specialties market growth[35] - BioNova is expected to invest $110 million to generate ~$39 million in EBITDA, implying a build multiple of 28X[41]

Core Points - ZimVie Inc. will report its financial results for Q2 2025 on July 30, 2025, after market close [1] - ZimVie has entered into a definitive agreement to be acquired by an affiliate of ARCHIMED for $19.00 per share in cash [2] - The acquisition is expected to close by the end of 2025, pending stockholder and regulatory approvals [3] Company Overview - ZimVie is a global leader in the dental implant market, focusing on developing and delivering products for dental tooth replacement and restoration [4] - The company aims to enhance smiles, function, and confidence through its comprehensive portfolio, which includes dental implants, biomaterials, and digital workflow solutions [4] Transaction Details - Upon completion of the acquisition, ZimVie will become a privately held company, and its shares will no longer be traded on NASDAQ [3] - Due to the pending acquisition, ZimVie will not hold a conference call for Q2 and has withdrawn its fiscal 2025 guidance [3]

Core Viewpoint - ZimVie Inc. has entered into a definitive agreement to be acquired by ARCHIMED, an investment firm focused on healthcare industries, for $19.00 per share, representing a 99% premium over its recent trading price, with an enterprise value of approximately $730 million [2][3]. Company Overview - ZimVie is a global leader in the dental implant market, developing and delivering a comprehensive portfolio of products aimed at supporting dental tooth replacement and restoration procedures [8]. - The company is headquartered in Palm Beach Gardens, Florida, and is committed to advancing clinical science and technology in the dental sector [8]. Acquisition Details - Under the merger agreement, ZimVie stockholders will receive $19.00 in cash for each share, with the transaction expected to close by year-end 2025, pending customary closing conditions [2][4]. - The Board of Directors of ZimVie has unanimously approved the transaction, which is not subject to a financing condition [4]. - Upon completion, ZimVie will become a privately held company, and its shares will no longer be listed on NASDAQ [5]. Strategic Implications - The acquisition is expected to provide ZimVie with the strategic and financial backing necessary to expand its innovative dental technology globally [3]. - ARCHIMED views ZimVie as having strong fundamentals and compelling growth potential, indicating a positive outlook for the company's future [3]. Go-Shop Period - ZimVie has a 40-day go-shop period during which it can solicit proposals from third parties, ending on August 29, 2025 [6]. - There is no assurance that this solicitation process will yield a superior proposal [6]. Advisory Roles - Centerview Partners is serving as the exclusive financial advisor to ZimVie, while UBS Investment Bank is the exclusive financial advisor to ARCHIMED [7].

Rayonier Advanced Materials (RYAM) Update Summary Company Overview - Rayonier Advanced Materials (RYAM) is undergoing a transformation to separate its high-margin cellulose specialties (CS) business from lower-margin commodity exposure, while also highlighting its emerging biomaterials platform [1][2] Key Points and Arguments - **New Segment Reporting**: The company has updated its reporting structure to better reflect its current operations and to provide clearer visibility into its high-margin segments [1][2][10] - **Long-term Strategy**: Confidence in the long-term strategy and value creation plan remains unchanged despite recent operational challenges and market noise [2][4] - **Operational Challenges**: The recent quarter faced challenges including higher input costs, operational difficulties, and weather-related disruptions, but these do not alter the company's long-term fundamentals [3][4] - **Price Increases**: The CS business outlook is strong, with a mid-single-digit price increase secured for 2025 while maintaining market share [5][16] - **Market Position**: RYAM holds approximately 40% market share in cellulose specialties, producing both hardwoods and softwoods, which provides a competitive advantage [6] - **Maintenance and Efficiency**: Major maintenance shutdowns have been completed, and the company is focusing on efficiency gains and strategic capital deployment to enhance margins [6][8] - **Biomaterials Growth**: The biomaterials platform is positioned to benefit from growing demand for renewable materials, with investments supported by secured green financing [7][8][23] - **EBITDA Targets**: The company aims for an annual EBITDA target of $325 million, with a focus on execution of its strategy [8] Financial Performance - **EBITDA Margins**: The CS segment reported a 23% EBITDA margin, while the emerging biomaterials segment achieved a 29% EBITDA margin, indicating strong profitability in these areas [11][23] - **Sales and Guidance**: For 2025, guidance for the CS business is set between $237 million to $245 million, with earnings expected to be back-end loaded due to operational recovery [18][25] - **Overall Guidance**: The overall EBITDA guidance has been adjusted to $175 million to $185 million, reflecting challenges in non-core segments and tariff impacts [25] Competitive Landscape - **Cellulose Specialties**: This segment is crucial, accounting for 56% of sales volumes, and competes on performance with a long qualification process for products [16][17] - **Commodity Products**: The company is minimizing exposure to lower-margin commodity products, focusing instead on higher-value offerings [20][21] Strategic Initiatives - **Joint Venture with BioNova**: The creation of BioNova aims to accelerate growth in biomaterials while avoiding shareholder dilution, leveraging project-specific funding [29][30] - **Capital Allocation**: RYAM plans to generate $5 million to $15 million in free cash flow for strategic investments, with a focus on maintaining a healthy balance sheet [37][40] Macro Trends and Risks - **Tailwinds**: Strong demand for sustainable materials and favorable green funding environments are expected to benefit RYAM's operations [47] - **Risks**: Trade policy uncertainty, inflation in raw materials, and logistics challenges are potential risks that could impact performance [48][49] Conclusion - RYAM is positioned for growth through strategic focus on high-margin segments and investments in biomaterials, while navigating operational challenges and market dynamics. The company remains committed to executing its long-term strategy and achieving its financial targets [8][51]

Company Overview - ZimVie Inc. is a global leader in the dental market, focusing on life sciences and offering a comprehensive portfolio of products for dental tooth replacement and restoration procedures [2] - The company is headquartered in Palm Beach Gardens, Florida, and operates additional facilities worldwide [2] - ZimVie aims to enhance smiles, function, and confidence through its dental implants, biomaterials, and digital workflow solutions [2] Upcoming Events - ZimVie management will participate in the Stifel 2025 Jaws & Paws Conference, scheduled for May 28, 2025, at 3:00 p.m. Eastern Time [1] - A live webcast and archived recording of the event will be available on ZimVie's investor website [1]

Core Viewpoint - ZimVie Inc. reported a net sales decrease of 5.2% for Q1 2025, but showed significant improvement in net loss and adjusted net income compared to the same period in 2024, indicating a focus on operational efficiency and profitability improvements [2][3][4]. Financial Performance - Net sales for Q1 2025 were $112.0 million, down 5.2% from Q1 2024, with a constant currency decrease of 4.1% [2][28]. - The net loss for Q1 2025 was $(2.6) million, an improvement of $8.9 million from a net loss of $(11.5) million in Q1 2024, resulting in a net loss margin of (2.3%), up 740 basis points from (9.7)% in Q1 2024 [3][4]. - Adjusted net income for Q1 2025 was $7.4 million, an increase of $5.2 million compared to Q1 2024 [3][4]. Earnings Per Share - Basic and diluted EPS for Q1 2025 were $(0.09), while adjusted diluted EPS was $0.27 [4][29]. Adjusted EBITDA - Adjusted EBITDA for Q1 2025 was $17.6 million, representing 15.7% of net sales, an increase of $5.1 million or 520 basis points from Q1 2024 [4][35]. Full Year Guidance - For the full year 2025, ZimVie projects net sales between $445 million and $460 million, adjusted EBITDA between $65 million and $70 million, and adjusted EPS between $0.80 and $0.95 [5]. Operational Focus - The company emphasizes a strong focus on execution and operational diligence to maintain its leading position in the dental market through innovation and education [2][8].

Financial Performance - In Q1 2025, the company reported an 8% decline in revenue and a 67% reduction in adjusted EBITDA compared to Q1 2024, which was below expectations [6][10] - The financial foundation remains solid with liquidity of $272 million and a net secured debt reduction to $624 million, resulting in a net secured leverage ratio of 2.9 times covenant EBITDA [10][16] Business Segment Performance - In the Cellular Specialty segment, quarterly net sales decreased by $5 million to $201 million, with operating income down $7 million to $31 million due to higher input costs and operational challenges [11][12] - The cellulose commodities segment saw net sales decline by $19 million to $75 million, with operating results improving by $6 million year-over-year to a loss of $13 million [12][13] - The new biomaterials segment maintained steady net sales at $7 million, with operating income flat at $2 million [13] - Paperboard segment net sales decreased by $4 million to $49 million, resulting in an operating loss of $2 million, down $10 million [14] - High yield pulp segment net sales declined by $3 million to $31 million, with operating losses increasing to $7 million due to lower market pricing and reduced volumes [15][29] Market Dynamics - The company faces significant challenges from tariffs, particularly a 25% tariff imposed by China on US-sourced cellulose commodities, affecting approximately $85 million of annual revenue [9][10] - The company is actively mitigating tariff risks through customer advocacy, market diversification, and operational adjustments [18][21] Strategic Direction - The company plans to focus on tariff mitigation actions, increase production of non-fluff commodities, and pursue high-return, low-risk strategic investments [19][30] - The biomaterials growth strategy remains intact, with key projects expected to advance and final investment decisions anticipated in the second half of the year [20][30] Management Commentary - Management acknowledged the challenging start to the year and ongoing uncertainties in the global market but expressed confidence in the resilience of the core business [81][82] - The company has lowered its full-year guidance for adjusted EBITDA to a range of $175 million to $185 million, reflecting the impact of tariffs and production issues [10][22] Other Important Information - The company expects unfavorable foreign exchange adjustments of $5 million due to a weakened US dollar against the Canadian dollar and euro [23] - Maintenance capital expenditure remains at $85 million, primarily driven by extended planned maintenance outages [24] Q&A Session Question: Conditions in the fluff pulp market with China's retaliatory tariffs - Management indicated that some Chinese customers continue to place orders but do not expect this to last long due to tariff costs, leading to a pivot towards non-tariff markets like India and Africa [35][36] Question: Evolution of volumes following Liberation Day - Management noted that volumes were lower than expected due to pre-orders and concerns about tariffs, with a significant drop in orders during April, but a resumption of orders was expected in May [40][44] Question: Evolution of paperboard guidance for 2025 - Management confirmed that the risk of tariffs on paperboard did not materialize, and pricing is expected to decrease by approximately 5% due to increased supply from new capacity [47][50]