Blog Coverage CST Shareholders Approve Merger with Alimentation Couche-Tard and Receives Notice from FTC for Additional Request

Upcoming AWS Coverage on Staples Post-Earnings Results

LONDON, UK / ACCESSWIRE / November 18, 2016 / Active Wall St. blog coverage looks at the headline from CST Brands Inc. (NYSE: CST). as the company announced As per notes filed with the Security and Exchange Commission (SEC) on the afternoon of November 16, 2016, CST Brands received a request for additional information and documentary material from the United States Federal Trade Commission (“FTC”) with respect to the pending acquisition of the Company by Alimentation Couche-Tard Inc. Register with us now for your free membership and blog access at: http://www.activewallst.com/register/.

One of CST Brands’ competitors within the Specialty Retail, Other space, Staples, Inc. (NASDAQ: SPLS), reported results on November 17, 2016, for its third quarter ended October 29, 2016. AWS will be initiating a research report on Staples in the coming days.

Today, AWS is promoting its blog coverage on CST; touching on SPLS. Get all of our free blog coverage and more by clicking on the links below:

http://www.activewallst.com/registration-3/?symbol=CST

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Accordingly, the waiting period imposed by the Hart-Scott-Rodino Antitrust Improvements Act of 1976, as amended, will expire 30 days after substantial compliance with the Second Request has been certified by all parties to the transaction that received a Second Request, unless that period is extended by court order or terminated earlier by the FTC.

Shareholder Approval

Earlier on November 16th, 2016, CST Brands announced that its stockholders approved the previously announced merger agreement with a U.S. subsidiary of Alimentation Couche-Tard Inc. at its special meeting of stockholders held today.

Based on the tabulation of the stockholder vote, approximately 84% of the total shares outstanding as of the October 7th, 2016, record date voted at the special meeting, and approximately 99.7% of the shares voted were in favor of the merger agreement at the special meeting.

On August 22nd, 2016, CST Brands announced that its Board of Directors has unanimously approved a definitive merger agreement with Alimentation Couche-Tard, under which Alimentation Couche-Tard will acquire all of the shares of CST Brands for $48.53 per share in cash, representing a total enterprise value of approximately $4.4 billion, including the assumption of net debt. The transaction represented a premium of approximately 42% to CST Brands’ closing stock price on March 3, 2016, the last date prior to CST Brands announcing that its Board commenced an exploration of strategic alternatives to further enhance stockholders’ value. The transaction also represented a premium of approximately 61% since May 1, 2013, the last date prior to regular way trading of CST following the Company’s spin-off.

CST Brands’ stockholders also approved, on an advisory (non-binding) basis, the compensation that may be paid, or become payable, to CST Brands’ named executive officers in connection with the merger.

Earnings Results

On November 08th, 2016, CST Brands reported net income of $260 million, or $3.41 per diluted share, for Q3 2016 compared to net income of $85 million, or $1.12 per diluted share, for the same period in 2015. The company’s EBITDA was $461 million for Q3 2016 compared to $174 million for Q3 2015, or a 165% increase. U.S. merchandise and services gross profit increased 19% compared to Q3 2015. For the nine months ended September 30, 2016, cash flow provided by operating activities totaled $250 million. Cash flow used in investing activities was $308 million, primarily related to capital expenditures and the Flash Foods acquisition. Cash, as of September 30, 2016, was $189 million. As of November 4, 2016, approximately $349 million was available for future borrowings under CST Brands’ revolving credit facility.

Stock Performance

CST Brands’ share price finished yesterday’s trading session flat at $48.07. A total volume of 436.04 thousand shares exchanged hands. The stock has advanced 29.11% and 32.44% in the last six months and past twelve months, respectively. Furthermore, since the start of the year, shares of the company have surged 23.21%. The stock is trading at a PE ratio of 11.06 and has a dividend yield of 0.52%.

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