Hain Celestial to Sell International Business to Aurelius for $323 Million

EarningsM&A · Partnership
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The Hain Celestial Group has agreed to sell its international business to private equity firm Aurelius for $323 million in cash, a deal expected to close in its fiscal second quarter subject to an amendment extending the maturity of its credit agreement. Net proceeds are expected to range from $305 million to $310 million, which would repay all outstanding term loans and more than 35% of its revolver balance, cutting pro forma total debt as of June 30, 2026 to approximately $250 million, a reduction of roughly 55%. If no lender amendment is obtained within 30 days of signing, Aurelius has the right to terminate the agreement, according to Chief Financial Officer Lee Boyce. In the fiscal fourth quarter, North America returned to organic sales growth, rising 2%, while adjusted EBITDA increased 55% to $16 million; international organic sales fell 4% and adjusted EBITDA dropped 41% to $12 million. Full-year free cash flow improved to $58 million from a $3 million outflow, and the company plans more than $16 million in annual run-rate cost savings, but withheld fiscal 2027 guidance because of the pending divestiture, lender discussions and related one-time costs.

Impact on stocks 1

Consumer Staples · 1 stocks
The Hain Celestial Group Inc
HAIN
▲ PositiveCapitalrelevance

Hain Celestial agrees to sell its international business to Aurelius for $323M cash, using proceeds to repay term loans and cut total debt by ~55%.

Off-coverage companies 1

AURELIUS Equity Opportunities SE & Co. KGaAPrivate± Mixed
Capitalrelevance

Aurelius is the acquirer of Hain Celestial's international business for $323M, but the article gives no detail on the deal's impact on Aurelius itself.