MLHR - I Give The Herman Miller Acquisition Of Knoll A C+ Rating
- Herman Miller bought Knoll for $1.8 billion. Their namesake brands are directly competitive.
- Herman Miller didn't get a pandemic discount since Knoll's stock doubled from its bottom and Herman Miller paid a 45% premium.
- I prefer organic growth. Acquisitions should give a company growth or something they can't recreate efficiently.
- I think Herman Miller is 'empire building.' Furniture is still a very competitive industry after this deal.
- The main benefit of this deal is cost synergies. Management teams usually over-exaggerate the cost benefits of deals when they are 'empire building.'
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I Give The Herman Miller Acquisition Of Knoll A C+ Rating