AUSTRALIA: Constellation to acquire BRL Hardy for A$1.9 billion
Constellation is to pay A$10.50 per share for BRL Hardy and will assume $325m in debt. The offer represents a 37% premium to the BRL share price prior to the announcement that Constellation and BRL Hardy were in talks, and was higher than had been expected. Analysts had predicted an offer closer to A$9.50 a share.
BRL shareholders will be able to choose whether they receive cash, shares, or a combination of the two. Constellation, which is planning to list its shares in Australia, expects to complete the deal by early-April.
The size of the offer should mean that counterbids, about which there had been significant speculation, now seem unlikely. "We don't expect any other bidders to come in at that price," Constellation's CEO, Richard Sands, said.
The deal not only gives Constellation a significant presence in the Australian wine market but also an entry in the Australian wine export market including a substantial foothold in the UK. The merged company will have sales of $1.7 billion which in value terms will make it the largest winery in the world, ahead of E&J Gallo Winery, though Gallo is still expected to be the world's largest wine producer in terms of volume.
The Board of Directors of Constellation Brands, Inc. has declared a quarterly dividend on the company's 5.75% Series A Mandatory Convertible Preferred Stock, payable on 1 June, to shareholders of reco...
Constellation is expected to launch a counter-bid for Allied Domecq by the end of this month, according to press reports....
The Hardy Wine Company has posted a record grape harvest....
Constellation Brands is to launch a new Australian wine brand onto the US market through its North Lake Wines. The wine will be called Kelly's Revenge....
This weekend's press reports have thrown up two other interested parties in the potential Allied Domecq carve-up....
Constellation Brands is interested in some of Allied Domecq's spirits brands, according to reports today (15 April)....
Yesterday we ran a story that innaccurately gave details of plans by Constellation Brands to make job cuts at Robert Mondavi. In fact the cuts have already been made and the details of the restructuri...
Constellation has released details of the salaries for its leading executives next year....
- When BRIC markets go horribly wrong
- What's coming up in spirits in 2017? - Comment
- What's coming up in beer in 2017? - Comment
- Remy Cointreau's bellwether Q3 - analysis
- Interview, Philip Gregan, New Zealand Winegrowers
- Diageo closes spirits e-commerce portal in UK
- A-B InBev acquires Spain's Cervezas La Virgen
- Home entertaining offers drinks opp's - Diageo
- Diageo mulls United Spirits stake buy - report
- Remy Cointreau sets up whisky division
- Global vodka insights - market forecasts, product innovation and consumer trends
- The Next Seven Big Beverage Markets
- Global Cognac insights - market forecasts, product innovation and consumer trends
- Global gin insights - market forecasts, product innovation and consumer trends
- Opportunities in Craft Spirits