Milacron Holdings Corp., just a week away from a special meeting of stockholders to approve the plastics machinery maker's sale to Hillenbrand Inc., announced third quarter sales that showed sales and orders declined by double digits.
Shareholders will vote on the proposed deal at a special meeting on Nov. 20. Shareholders not attending the meeting must submit their vote electronically by Nov. 19.
Hillenbrand expects the sale to close by the end of the year.
The cash and stock deal, valued at about $2 billion, was announced July 12. Milacron shareholders will get $11.80 cash and fixed ratio of 0.1612 shares of Hillenbrand stock for each share of Milacron stock they own. After the deal, Milacron shareholders would own about 16 percent of Hillenbrand, with about 84 percent owned by Hillenbrand.
Milacron issued its third quarter results with a filing and news release after the stock market closed Nov. 12. There was no conference call with analysts because of the pending Hillenbrand deal.
Hillenbrand is set to announce its fourth quarter and year-end 2019 results on Nov. 14. Both companies are traded on the New York Stock Exchange.
Milacron reported third quarter sales of $250.3 million, down 11.5 percent from $282.8 million in the third quarter of 2018. Orders were $220.2 million, a 14 percent decline from $256.1 million in the year-ago period.
Milacron reported a net profit of $26.1 million for the third quarter.
"We continue to face, and our results this quarter were impacted by, industrywide headwinds, the effect of the global showdown and the ongoing effects of the trade tension between the United States and Canada," Milacron said in a news release announcing the financial results.
Milacron reported machinery operations — called Advanced Plastic Processing Technologies — generated third quarter sales of $121.5 million, down 14 percent from $141.1 million in the third quarter of 2018.
Sales declined 9 percent for the third quarter at Milacron's Melt Delivery and Control Systems unit, to $98.9 million, down from $108.8 million in the year-earlier period. That segment includes hot runners, mold bases and components and aftermarket parts and services.
Milacron, based in Blue Ash, Ohio, a suburb of Cincinnati. Hillenbrand is based in Batesville, Ind.