US: Vin & Sprit to acquire major stake in Cruzan
Vin & Sprit is poised to buy a controlling stake in spirits company Cruzan International. Angostura Ltd., Cruzan's controlling stakeholder, has entered into a stock purchase agreement with the Swedish-based wine and spirits group, pursuant to which V&S agreed to purchase Angostura's 67.8% holding in the spirits company.
The transaction will cost V&S US$121.8m, or US$28.37 per share, and is expected to close on or before 30 September.
Since 2003, Cruzan has had a distribution agreement with V&S that provides for joint marketing and for the distribution by V&S of Cruzan products in certain international spirits markets.
In a statement released late on Friday (3 June), Jay S. Maltby, Cruzan's chairman and CEO, said: "Angostura has been an extremely supportive controlling shareholder, and we regret the end of our relationship. We are, however, extremely excited to have the opportunity to continue to work with, and have the further support of, V&S, one of the premier worldwide beverage alcohol brand marketers. We expect that the sale of controlling interest to V&S will now position the Cruzan brand into a much wider international distribution network.
"The price paid by V&S validates the shareholder value the company has built as a result of our efforts to develop and market the Cruzan brand both in the US and throughout the world."
Cruzan supplies rum, brandy and wine to the beverage alcohol industry. It also produces ultra-premium single-barrel aged rums and tropical rums, vinegar and other alcohol-related products.
The global roll-out of InBev's Brazilian beer, Brahma, adds a third premium brand to the global brewer's international portfolio but some observers have suggested it's an unnecessary step which threat...
Brasserie Kronenbourg has clarified earlier reports about its entry into the low alcohol beer sector in France....
Costs relating to alcohol abuse in Sweden are on the rise, according to research out this week....
Police in eastern Kenya have said that at least 24 people died on Saturday after drinking illegally produced alcohol....
According to a recently published study, people who drink alcohol may have a lower risk of developing a type of cancer which affects the lymphatic system known as non-Hodgkin lymphoma (NHL)....
Diageo is calling for facts labels to be placed on alcohol beverages in the US....
Kenyan authorities are to ban beer and spirits advertising from television and billboards in the country, according to a local report late last week....
Post-menopausal women who consume even moderate amounts of alcohol may face an increased risk of breast cancer, according to a comprehensive US study....
- Have spirits companies forgotten the mainstream?
- Ten questions for Diageo - Analysis
- Does alcohol accelerate the onset of dementia?
- Pernod's mood darkens over India - Analysis
- Why Scotch must drop the 'malts good, blends bad'
- Moet Hennessy unaffected by LVMH Dior buy
- Diageo to cut 105 jobs in Scotland, 50 in Italy
- Distell acquires majority stake in Cruz Vodka
- Portman Group heads to Tesco for new chief exec
- William Grant names Europe & NA Travel Retail head
- Global Scotch insights - market forecasts, product innovation and consumer trends
- Global Champagne and sparkling wine insights - market forecasts, product innovation and consumer trends
- Battle of the Generations - The fight for iGen, Millennial, Gen X and Baby Boomer consumers
- Craft Beer: Coming of Age or Past Its Prime?
- Myanmar - ISA Country Report