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CORONA, Calif. – Monster Beverage Corporation (NASDAQ: MNST), a $53.8 billion market cap beverage giant with impressive gross profit margins of 54%, today alerted shareholders about an unsolicited mini-tender offer from TRC Capital Investment Corporation. TRC aims to acquire up to 2 million shares, or approximately 0.2% of Monster’s outstanding common stock, at $52.95 per share, a value below the recent closing price.
The offer price is about 5.1% less than Monster Beverage’s stock closing price on March 10, 2025, which was $55.77. The company has advised its stockholders to reject the offer and refrain from tendering their shares, emphasizing that the offer is below the current market price and subject to numerous conditions. According to InvestingPro analysis, Monster currently trades near its Fair Value, with 12 additional exclusive insights available to subscribers.
Monster Beverage has clarified that it is not affiliated with TRC or its mini-tender offer. Mini-tender offers are for less than 5% of a company’s shares, circumventing many SEC disclosure and procedural rules designed to protect investors. The SEC has issued warnings about such offers, suggesting they may exploit uninformed investors, potentially leading to sales of securities at below-market prices.
The company has encouraged its stockholders to consult with their brokers or financial advisors, obtain current market quotations for their shares, and exercise caution. Additionally, Monster Beverage has requested brokers and dealers, along with other market participants, to review the SEC’s guidance on mini-tender offers to ensure proper dissemination and disclosure.
This announcement comes as Monster Beverage Corporation, headquartered in Corona, California, continues to market a wide range of beverages, including energy drinks, craft beers, and hard seltzers through its consolidated subsidiaries. InvestingPro data reveals the company maintains a strong financial position with a current ratio of 3.32 and more cash than debt on its balance sheet, earning an overall financial health rating of "GREAT". Discover comprehensive analysis and more metrics in the exclusive Pro Research Report, available with an InvestingPro subscription.
The information provided in this article is based on a press release statement from Monster Beverage Corporation.
In other recent news, Monster Beverage Corporation reported fourth-quarter revenue of $1.81 billion, surpassing analyst expectations of $1.8 billion. Despite the revenue beat, adjusted earnings per share were $0.38, slightly below the projected $0.40. The company’s gross profit margin improved to 55.5%, up from 54.5% in the previous year, aided by reduced input costs. International sales showed strong growth, increasing 11.7% to $711.5 million, now accounting for 39.3% of total net sales. However, Monster Beverage incurred $130.7 million in impairment charges related to its Alcohol Brands segment due to underperformance.
In executive news, Rodney C. Sacks announced his resignation as Co-CEO, effective June 12, 2025, with Hilton H. Schlosberg set to become the sole CEO. Sacks will continue as Chairman of the Board and remain involved in strategic decisions until his retirement in 2026. Analysts have provided mixed ratings, with Piper Sandler maintaining a Neutral rating and a $51 target, while Stifel reaffirmed a Buy rating with a $59 target. Stifel analysts highlighted Monster Beverage’s strong international sales and improved gross margin as positive indicators for future performance.
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