Mergers & Acquisitions
October 5, 2026
VPC Group Acquires Domfoam
VPC Group Acquires Domfoam’s Business and Operating Assets
TORONTO, Ontario – VPC Group, a leading Canadian manufacturer of polyurethane foam products announced the acquisition of the business and operating assets of Domfoam, a Montréal-based polyurethane foam manufacturer.
The acquisition strengthens VPC’s Canadian foam business and adds production capacity to support the needs of furniture and bedding manufacturers. It brings together complementary businesses with a shared focus on serving customers.
“Domfoam is a strong fit for VPC,” said Peter Farah, CEO of VPC Group. “We are pleased to build on Domfoam’s experience and customer relationships. This investment gives us greater capacity to support our customers, and our focus is clear: quality products, reliable service and helping them grow.”
VPC’s priority through the transition is to work closely with Domfoam’s customers to understand their needs and support their businesses.
The acquisition represents a further investment in Canadian manufacturing and VPC’s long-term growth.
www.vpcgroup.com
September 28, 2026
Evonik Rejects BASF Bid
Evonik rejects €10.3B bid from BASF – FT
Sep 28, 2026, 10:11 AM ETEvonik Industries AG (EVKIY) Stock, EVKIF Stock, BASFY Stock, BFFAF StockBy: Joshua Fineman, SA News Editor
Evonik (EVKIY) (EVKIF) turned down a €10.3 billion from larger German rival BASF (BASFY) (BFFAF).
BASF (BASFY) rejected an offer of about €22.15 per share as an initial approach, according to a Financial Times report on Monday, which cited people familiar with the matter. Evonik (EVKIY) said the offer was too low to allow for formal talks or to allow BASF to conduct due diligence.
Evonik and RAG-Stiftung declined to comment to the FT.
Evonik rose 7.2% in German trading on Friday after the FT reported that BASF had approached its rival about a takeover. BASF (BASFY) recently made a proposal to Evonik (EKVIY) and its largest holders, the RAG-Stiftung foundation.
Evonik (EVKIF) confirmed in a statement on Friday that it received a non-binding approach from BASF (BASFY) on a takeover offer for all of Evonik’s shares. No talks are currently taking place. BASF said in a separate statement that it has had exploratory talks with RAG-Stiftung and Evonik about a potential takeover. The “course and outcome” of the talks “remain open” at this stage.
The FT reports come after Dealreporter last Monday first reported that BASF (BASFY) explored a potential deal with Evonik (EVKIF) this year.
September 24, 2026
EMCO to Acquire Pride
EMCO Acquires Pride, an Industrial Chemical Distributor in the U.S. Northeast
2026-09-24 09:40:32Source:ChemNet中文
North America’s renowned chemical distribution, custom blending and packaging service provider EMCO Chemical Distributors (hereinafter referred to as “EMCO”) announced today that it has signed an agreement to acquire all assets and business operations of Pride Chemical Solutions (hereinafter referred to as “Pride”). Pride is an industrial chemical distributor owned by the founding family, mainly serving the northeastern United States. The financial terms of this transaction have not been disclosed to the public.
Founded in 1970 by Arthur Dom Sr., and now led by Art Dom Jr., the company is headquartered in Holtsville, New York State, and has been a chemical distribution enterprise deeply rooted in the northeastern United States for many years. The company currently has more than 80 employees, and can complete the distribution, blending and packaging business of more than 3,000 inventory items for more than 1,500 cooperative customers in numerous downstream terminal markets. The enterprise has two distribution and packaging production bases, and is equipped with a dedicated transportation fleet, which can realize just-in-time delivery of chemicals.
Frank Belgonzi, Executive Chairman of the EMCO Board of Directors, said: “The acquisition of Pride is an important implementation of our strategic layout to expand EMCO’s business scope. In addition to relying on internal growth, we also continue to look for target enterprises with highly complementary businesses through mergers and acquisitions. I have known and worked with Art and the Pride management team for more than 35 years, and I have always respected them very much. In the future, we will invest resources to empower Pride and continue to grow and expand on the excellent foundation laid by the Dom family.”
Art Dom Jr., Chief Executive Officer of Pride, said: “When planning the future of Pride, I have always weighed carefully. More than 50 years ago, my father founded this company, but it was all the employees’ hard work, loyalty and responsibility that turned the founder’s vision into reality and created today’s Pride. For this reason, it is extremely important for me to find a partner that respects our brand, industry reputation and all employees, and I believe EMCO is such a suitable partner. Thank you to all the old and new colleagues of Pride. I sincerely appreciate everything everyone has done for the company, and I am very proud of the business we have built together, and I look forward to the continuation of Pride’s corporate heritage in a new stage.”
Jim Holcomb, Chief Executive Officer of EMCO, pointed out: “Pride has excellent industry reputation, stable supplier cooperation relationships, a dedicated employee team, and incomparable local infrastructure. These advantages have laid its leading position in the regional market. We look forward to working hand in hand with the Pride management team to help the future development of this enterprise and promote the overall business growth of EMCO.”
This transaction still needs to meet the conventional industry closing conditions to be completed. PKF Investment Bank served as the exclusive financial advisor for Pride’s sale this time.
About EMCO Chemical Distributors
EMCO Chemical Distributors is a leading chemical distribution, custom blending and packaging service provider in North America. Every year, the company completes the distribution and packaging work of chemicals with a total weight of more than 300 million pounds for more than 4,000 customers from all walks of life. EMCO operates eight distribution and packaging bases, an application laboratory and environmental protection service facilities, is equipped with advanced ISO 8 class 100,000 clean workshops, holds ISO 9001 and FSSC 22000 certifications, and has been recognized by the Global Food Safety Initiative.
September 9, 2026
Dow Considering Sale of Sadara Interests
Dow is said to consider sale of stake in $20B Saudi chemical venture
Sep 09, 2026, 7:50 AM ETDow Inc. (DOW) Stock, ARMCO StockBy: Rob Williams, SA News Editor
Dow Inc. (DOW) is exploring a possible exit from Sadara Chemical Co., its $20 billion joint venture with Saudi Aramco (ARMCO), as the U.S. company restructures its portfolio during a prolonged chemical-industry downturn, Bloomberg News reported, citing people familiar with the matter.
Dow (DOW) owned 35% of Sadara as of last year, while Aramco held the remaining interest. Aramco (ARMCO) could acquire Dow’s stake, though other corporate buyers or financial investors may also consider bids. Discussions remain preliminary, and Dow could decide against a sale.
For investors, a divestiture could reduce Dow’s exposure to Sadara’s debt and future cash requirements while freeing capital for businesses with stronger expected returns. The financial benefit would depend heavily on the sale price and whether Dow retains any guarantees or other obligations.
Established in 2011, Sadara operates 26 manufacturing units capable of producing more than 3 million metric tons of chemicals and plastics annually.
Dow (DOW) also has exposure to the venture through a guarantee on a $500 million revolving credit facility intended to cover possible funding shortfalls. Sadara drew $80 million from that facility during the fourth quarter of 2025, according to Dow.
Sadara remains strategically important to Aramco (ARMCO), which is expanding its chemical operations to generate more value from its hydrocarbon production. The venture also supports Saudi Arabia’s effort to develop industries beyond oil. Aramco (ARMCO) separately controls Sabic, the kingdom’s largest chemical producer.
September 2, 2026
Highlights from Somnigroup Discussing L&P Acquisition
Somnigroup International Inc. (SGI) Discusses Strategic Acquisition of Leggett & Platt and Enhanced Vertical Integration Transcript
Sep 02, 2026, 12:44 PM ETSomnigroup International Inc. (SGI) Stock
Somnigroup International Inc. (SGI) Discusses Strategic Acquisition of Leggett & Platt and Enhanced Vertical Integration September 2, 2026 8:00 AM EDT
Company Participants
Lauren Avritt – Director of Investor Relations
Scott Thompson – Chairman of the Board, CEO & President
Bhaskar Rao – Executive VP & CFO
Scott Thompson
Chairman of the Board, CEO & President
Thank you, Lauren, and good morning, everyone. Today is a significant day. We have officially closed the Leggett & Platt transaction, and I’m pleased to welcome the Leggett & Platt team to the Somnigroup family. This milestone marks the next chapter in our strategic journey and one we believe strengthens Somnigroup’s competitive position around the world.
A few facts on Somnigroup post-closing. Over $11 billion in trailing 12-month sales, over $750 million trailing 12 months net income, $20 billion enterprise value, $15 billion market cap. Over 170 manufacturing plants around the world. 2,800-plus retail stores with various formats customized for each international market. Over 40 e-commerce websites, selling direct to consumer with aggregate sales of over $500 million per year. 36,000 talented associates led by a very experienced management team. And customers, both retail and wholesale in over 100 countries. We are building a special vertically integrated company with numerous competitive advantages, outstanding cash flow generation attributes, a diversified customer base and a passionate workforce dedicated to customers in various markets and industries.
What we see in Leggett & Platt is a company with 143-year long legacy of exceptional people, world-class manufacturing, strong commitment to customer service and best-in-class expertise in bedding components. They also have a long track record as one of our most important suppliers. We know them well, and they know us well. That familiarity is an asset as we move forward as a combined company. First and foremost, the combination deepens our vertical integration, and it adds significant scale expanding sourcing opportunities, enhancing operational flexibility to a portfolio of assets that is already industry-leading. It also extends our reach across industries beyond bedding which will provide the company solid free cash flow and growth as markets normalize and these strategies are implemented. Strategically and economically, this is the right deal at the right time with the right partner.
Let me take you through how this transaction advances the strategic pillars we outlined at our Investor Day last March. Global scale and vertical integration, relentless consumer-centric innovation, relentless cash generation, disciplined capital allocation and a uniquely favorable position in the $120 billion global bedding market recovery. The Leggett & Platt acquisition checks every one of these boxes. Most directly, it strengthened our vertical integration advantages. Leggett & Platt is a primary supplier of important components to the bedding industry and particularly to our own manufacturing operations. They supply innerspring units, specialty foam and other key components to producers around the world, bringing their capabilities in-house further fortifies our supply chain in an uncertain world and allows us to optimize cost and drive quality end-to-end in the supply chain. The combination brings component engineering closer to mattress design and closer to the consumer insights we generate every day across our retail platform. That proximity supports accelerated innovation cycles. It means we can develop more cost-effective and consumer-centric products.
In addition to expanding our addressable market in bedding, Leggett & Platt’s product portfolio includes automotive seating systems, furniture components, geo components, and hydraulic cylinders also allow us to participate in industries beyond global bedding. These diversified sales streams as well as Leggett & Platt’s geographic footprint broadens our earnings base, and mitigates reliance on any single category, product or geographic market.
Let me say a word about how we intend to operate Leggett & Platt within the Somnigroup portfolio. Leggett & Platt will operate as a stand-alone business unit within Somnigroup, consistent with our approach with Tempur Sealy, Mattress Firm and Dreams. We believe this decentralized operating model is one of our structural advantages. It allows each business unit to stay close to its customers and markets and quickly respond and develop strategies in an ever-changing world, while also benefiting from Somnigroup’s expertise, scale, strong balance sheet and operational leverage.
A word on leadership. First, we’re very fortunate that Leggett & Platt has an experienced workforce dedicated to quality and customer service, which is led by a strong committed executive team with depth and a passion to succeed. To enhance their leadership structure, you most likely saw we announced the appointment Tyson Hagale as President of Leggett & Platt. Tyson is a 25-year Leggett & Platt veteran with a broad expertise across all corners of the business, including strategic planning, operational leadership and M&A. Most recently, he served as President of the Bedding Products segment, delivering results and operational improvements through some of the most dynamic conditions in the industry has ever seen. He knows Leggett & Platt well, including the non-bedding components. Karl Glassman will continue to lead Leggett & Platt as CEO over the near term, working closely with Tyson and Somnigroup executives as we bring the companies together. I’m looking forward to working with Karl and Tyson.
Moving to near-term strategic initiatives. We expect some early wins. We have long believed that high-quality innerspring systems represent a meaningful point of differentiation and important feature for customers. While the mattress category has traditionally emphasized finished product branding, we see the opportunity to elevate awareness of underlying technologies and components that contribute to comfort, support, durability and overnight fleet quality. Simply put, what is in your mattress matters. As a result, we are working to amplify the differentiated innovation by incorporating Leggett & Platt innerspring branding on the exterior selected mattress products. We believe this approach helps highlight the value of the technology inside the mattress while creating greater transparency and confidence for customers at the point of purchase. This initiative will initially roll out with our launch of the all-new Stearns & Foster collection this fall. It represents an important step in our broader strategy to increase consumers’ recognition of the premium component of engineering that differentiates our products. We believe stronger visibility of the Leggett & Platt innerspring technology can enhance the consumer shopping experience, support our retail partners’ merchandising efforts and further reinforce the value proposition of mattresses that incorporate our technology.
Ultimately, we view this as much more than a branding initiative. This is a reflection of the strategic vision behind the acquisition of Leggett & Platt’s bedding business and the unique capabilities that the transaction creates. By bringing ownership of innersprings, the heart of the bed, into the portfolio we are now able to more closely integrate component innovation, mattress design, driving consumer engagement. We believe that position enables us to set higher standards for innovation, durability, quality and transparency across the industry, while creating connection between the technology inside the mattress and the magic consumers experience every night. We should also note that Mattress Firm as it continues to focus on customer first, recently communicated to its supplier base, new and more stringent merchandising criteria, including the qualification of key component inputs, both Leggett & Platt’s innerspring systems and the foams produced by ECS, their specialty foam operations have been qualified under these enhanced standards. This is direct validation of the quality and consistency that Leggett & Platt brings us to our supply chain. I’ll say it again, what is inside your mattress matters.
In closing, I want to leave you with a few key thoughts. We are the leading vertically integrated bedding company in the world. We now forge our own steel, create our own springs and foam. We design and build our own products. We develop and market our brands and sell our products, which cover all price points in a balanced omnichannel format across the world. We believe that the $120 billion global bedding market remains structurally intact and positioned to normalize from its historically depressed levels. Now let’s be clear, the bedding market has experienced an extended period of weakness, and we have used that time deliberately to build the platform you see today, while also growing adjusted EPS and deleveraging. We are investing ahead of the recovery and building our brands, driving upper funnel advertising and strengthening our infrastructure. It’s not a question if the bedding market is going to turn around. It’s a question of when and whether you are positioned to lead when it does, and we are positioned to win and win big.
Bhaskar Rao
Executive VP & CFO
Thank you, Scott. Let me start with some housekeeping items on our reporting structure going forward. Leggett & Platt will be reported as a single consolidated reportable segment within Somnigroup, consistent with our other reporting segments, Tempur Sealy North America, Tempur Sealy International and Mattress Firm. Now moving to synergies. When we announced this transaction, we identified approximately $50 million in synergy opportunities on an annual run rate basis, focused on sourcing, operations and product innovation. That figure was based primarily on our internal diligence work at that time. Since then, we have worked with Leggett to refine our expectations. As a result of the team’s combined efforts, we are increasing that synergy estimate by 50% to $75 million on an annual run rate basis with additional opportunities in our synergy funnel that will be evaluated over the next year. .
Within sourcing, we see opportunities to expand profitability by bringing select components in-house and/or improving purchasing economics across our supplier base. To date, we have included $35 million of sourcing related synergies in our target. One of the most immediate and tangible examples is innersprings. Beginning in January 1, 2027, we expect to manufacture over 90% of our total U.S. spring needs internally, creating a meaningful cost savings opportunity and further strengthening integration across the business. We are reviewing additional supply chain opportunities and expect our combined sourcing efforts to support greater cost efficiency, particularly in chemicals. In addition, we expect the broader platform to create savings across third-party professional services.
Rafe Jadrosich
BofA Securities, Research Division
I just wanted to follow-up on the sourcing synergies that the 90% of — the expectation that you’ll be 90% internal sourcing for your springs. Can you talk about where that is today, like what that delta is? How much you’re getting from Leggett versus either other suppliers or internal right now, so like what that changes? And then does that include anything with Elite Comfort Systems in the foam side? Or is that all — that sourcing number all innersprings?
Scott Thompson
Chairman of the Board, CEO & President
Yes. We were under a long-term contract with Leggett pre-combination of 80% of our springs in the U.S., this is just a U.S. comp discussion coming from Leggett, so you should think about it as incrementally 10%, and we’ll probably be a little bit north of 90% over time would be my guess. That number is in the synergies. There’s nothing significant currently in the synergy number on the ECS side as we work through the ECS side of the house. We have a great supplier currently, what I’m going to call base foam, and they’re doing a great job, and we’re working with them and working with ECS and trying to find an optimal structure there, but we’ve got great suppliers on the base foam already.
Michael Lasser
UBS Investment Bank, Research Division
There are very few examples where one company such as Somnigroup control such a disproportionate amount of the profitability within the sector, and the bedding industry is interesting in that historically, it’s relied heavily on pricing as a key contributor to the overall growth of the sector. So my two-part question is, a, Scott, do you see any changes in the overall economics of the bedding industry as a result of Somnigroup’s unique position; and b, how are you looking at the overall pricing architecture of the industry moving forward as a key contributor to the overall top line results?
Scott Thompson
Chairman of the Board, CEO & President
Thank you for the question, and there’s probably some of my lawyers on the phone now that are going like, I hope he doesn’t really say much on that question, but let me talk about — first of all, you’re right. It’s a couple of things that are really unique. It’s really unique that a company was able to take a downturn, and the downturn has been, on a historical basis, it’s been the worst downturn ever, and be able to build what we’ve built. I mean it really is game changing. And you’re right, I don’t know what percentage of worldwide bedding profits Somnigroup now has, but it’s large, we’ll say it.
As far as the pricing architecture, I think the profitability of the bedding industry is going to be enhanced as we take out redundant costs and we add synergies. I think the economists and certainly, history would be the FTC would look at that and expect that some of that would creep into the customers’ pocket. And maybe it does, maybe it doesn’t. But from a competitive advantage standpoint, it certainly should create a competitive advantage in the marketplace.
Peter Keith
Piper Sandler & Co., Research Division
Big picture on the industry and potential rebound, so it looks like we’re now entering our fifth year of mattress industry sales declines. We do have positive GDP growth, there’s been a tax refund cycle earlier in the year. When you guys are thinking about the industry rebounding and getting better, what do you think needs to happen in the economy looking forward? And I understand housing would be an easy answer, but we all agree that, that’s a minority of total mattress sales purchases?
Scott Thompson
Chairman of the Board, CEO & President
The real answer is housing is an incremental headwind or incremental tailwind usually not hugely material, but you’d rather have a tailwind than a headwind. It’s consumer confidence which I would point back into a little less — a little more stable environment because look, these are discretionary goods, they are expensive and so when consumers are not confident and sentiment is really negative, they have — some portion of the customers tend to postpone. It’s interesting because it’s in-floor traffic. The customer who actually is in the funnel to purchase a bed, once in the funnel, gets through the funnel fairly quickly, or in standard form and it gets into the store and the closing rates are very strong.
So you don’t have an issue on pricing. You don’t have an issue on quality of products, quite frankly, the products, ours and others in the bedding industry are good. You’ve got a strong kind of health and wellness concept that goes through the industry. People do care about their bed. They do care about their health, and people with means are showing up and buying. Who’s not showing up are the more of the entry-level customers, if you want to say, the K economy or whatever or people who are a little unsettled by current events. So the first thing I’d say is we just need less drama in the world. And we’ve had it a few times, okay, where there’s a period where there’s a little less drama, and you can see it in the numbers. I mean, floor traffic picks up, sales pick up, but then we get some tariff drama, some Middle East drama and people’s hands go back into their pockets. That would be my first answer to that.
And the second answer is we need to continue to have the industry advertise, have effective advertising, make sure it’s compelling and get it placed in a way in the marketplace that consumers are seeing the ads and that it’s influencing them to think about their bed to get into the purchase funnel. The biggest — the issue is getting people triggered to think about their beds. If you look at the installed base, and this isn’t like the car business where you can look at a VIN and you know exactly what the average age of all the cars are on the road, how many miles they’ve driven. We don’t have that kind of data, but there is no question if you look at the volume declines over what — you’re right, into the fifth year that the products that are in the marketplace are probably older than they’ve ever been. There’s also no question that beds do wear out, and there’s no question that people are going to sleep on beds. The industry is structurally sound. There’s nothing that’s threatening the industry from a structural standpoint. So that’s why I kind of go back to — I don’t know, I can’t tell you the exact turn, but there’s — but everything points to what we just need is a little more stability in the way the consumers are thinking about the world.
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