UVV - Universal Corporation scoops up Shank's Extracts; terms undisclosed

Shank's Extracts is a privately-held, specialty ingredient, flavoring, and food company with bottling and packaging capabilities. The commercial terms were not revealed. Following the close, the existing management team will continue running the business and reporting to J. Patrick O'Keefe, SVP of Universal Global Ventures. Shank's will operate as part of Universal's plant-based ingredients platform, includes Silva International, Inc. and FruitSmart, Inc. Universal Corporation (NYSE:UVV) expects to fund the transaction with cash on hand and borrowings under its revolving credit facility. The Company says that it is committed to increasing its quarterly dividend on an annual basis. Universal Corporation expects the transaction to close in the calendar-year fourth quarter, subject to customary closing conditions, and anticipates the acquisition will be accretive to earnings in the fiscal year 2023.

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Universal Corporation scoops up Shank's Extracts; terms undisclosed