I just read the most recent 3Q earnings announcements for “Boise” companies. The earnings record was mixed, but they all reported an acquisition in the works.
For example in recent memory,
- Boise, Inc. announced that it would buy Hexacomb, a maker of honeycomb protective-packaging products.
- MWI Vet announced that it bought Micro Beef Technologies Ltd, a distributor of feed ingredients and other animal health products to the production animal market.
- Boise Cascade announced that it was purchasing Stimson Lumber Mill, which processes pine and cedar into lumber and decking products.
While I do not know the details of the transactions, I hope that these acquisitions create value for the respective firms. We all know that even mergers/acquisitions in the same industry (which all of these are) can go wrong. Having said that, at least for the Boise area, these companies are doing the acquiring instead of being acquired. It has not always worked out that way for Boise-based companies.