Monster Beverage winning Bang can ‘modestly’ boost EPS, says Stifel

Stifel analyst Mark Astrachan notes that court documents filed last night indicate that Monster Beverage plans to acquire most of the assets of Bang/VPX out of bankruptcy for $362M, subject to FTC approval. Should Monster successfully acquire Bang, the firm estimates the transaction would be “modestly accretive” to EPS and strategic by providing Monster a new brand, modestly more shelf space and, “most notably,” a manufacturing facility favorable to gross margin. Stifel has a Buy rating and $63 price target on Monster shares.