US: CEDC prepares US$310m note offer

By just-drinks.com editorial team | 5 March 2008

Central European Distribution Corp is to offer US$310m-worth of convertible notes.

The US-based company, which operates mostly in Eastern Europe, said earlier this week that it plans to offer the aggregate principal amount of convertible senior notes, due in 2013.

The notes are convertible into common stock in CEDC in accordance with their terms, and are being sold under a shelf registration statement on Form S-3 on file with the Securities and Exchange Commission in the US, the company said.

Last week, CEDC posted a 26% leap in full-year sales for 2007, coming in at US$1.19bn. Net sales for the fourth quarter increased by 32% to $393.4m. Operating income for the full year rose 29% to $118.1m, while the fourth-quarter increase was 47% to $45.6m.

On a comparable basis, CEDC delivered net income of $69.8m, as compared to $46.1m in 2006. Net income for the full year, on a US GAAP basis, was $77.1m in 2007, compared to $55.5m in 2006.

Sectors: Spirits, Wine

Companies: CEDC