Central European Distribution Corporation has confirmed receipt of a proposal from Russian Standard to up its stake in the US-based company to almost 30%, and form a “strategic alliance”.
//i2.aroq.com/1/russianstandard-cedc.jpgCEDC, which is based in New Jersey but operates almost totally in Central and Eastern Europe, announced earlier today (8 December) that Russian Standard is looking to buy a 19.9% stake, in exchange for unspecified assets in Russian Standard's Roust Inc spirit import unit.
The move follows Russian Standard's purchase of 9.9% of CEDC's shares late last month.
CEDC confirmed today that it has held “preliminary discussions” with Russian Standard, following the setting up of a confidentiality agreement between the two in early October.
“No agreement was reached as to any matters referred to in the letter from Russian Standard,” CEDC said. “No due diligence has been conducted with respect to the assets proposed to be contributed to CEDC in exchange for the suggested equity interest.”
CEDC concluded that it is in the process of “evaluating the proposal.” A spokesperson for Russian Standard declined to comment on the developments when contacted by just-drinks this afternoon.
For CEDC's announcement, click here.
Sectors: Mergers & acquisitions, Spirits
Companies: Central European Distribution Corporation
