Update - US: CEDC shares soar on Nemiroff withdrawal
Investors back CEDC strategy
Investors in the Central European Distribution Corp have backed the company's decision to walk away from a possible takeover of vodka group Nemiroff.
The Zubrowka and Bols owner had planned to use proceeds from the sale of its Polish distribution business to bid for Ukraine-based Nemiroff.
But, the firm said that it will, instead, use the money to either instigate a share buy-back or pay down debt.
"We are still on track to close the sale of our Polish distribution business in the beginning of August 2010, and expect to determine the use of proceeds shortly thereafter," said group CEO William Carey.
He said that CEDC would focus on organic growth, particularly in Russia.
"We have invested over US$1.5bn over the last three years in Russia and will look to maximise the return on this deployed capital," said Carey. "We believe we have a solid leading market position to capture further growth in the region in the next three to five years and management will continue to focus on maximising this opportunity."
- Comment - Diageo Steps Up Defence of Haig Club
- Focus - Diageo's H1 Results by Region, Brand
- Comment - Spirits - Where Next for Scotch Whisky?
- just the Preview - Diageo Q2 & H1
- just the Facts - Top 20 US Beers by Value, Volume
- Belvedere vodka tie-up over new James Bond film
- Diageo speaks out over supplier contract changes
- Brown-Forman appoints Jack Daniel's president
- Diageo inks UK distribution deals
- ASA rejects Haig Club ad complaints
- Global RTD/RTS insights - market forecasts, product innovation and consumer trends research
- Diageo plc (DGE) - Financial and Strategic SWOT Analysis Review
- Global vodka insights - market forecasts, product innovation and consumer trends research
- Edrington Group in Spirits (World)
- Global Consumer Trends and Key Consumer Targets in Alcoholic Beverages