Cott Announces Closing of Eden Springs Acquisition
TORONTO, ON and TAMPA, FL – August 2, 2016 – Cott Corporation (NYSE:COT; TSX:BCB) announced today that it has closed its previously announced acquisition of Eden Springs (“Eden”), a leading European direct-to-consumer services provider specializing in home and office delivery (“HOD”) water, office coffee services (“OCS”) and filtration. Eden was held by investment funds affiliated with Rhône Capital and was purchased for €470 million, on a debt and cash free basis.
The Eden acquisition is consistent with Cott’s stated diversification strategy to expand in HOD water, coffee and tea services as well as filtration services where its platform, operating strength and potential synergies can be leveraged. Eden is a scale business that generated over €360 million in pro forma revenues during 2015. The acquisition broadens the distribution platform of Cott’s existing UK/European business by providing access to a direct-to-consumer route distribution platform in Europe serving over 800,000 homes and offices. In line with Cott’s strategy, the acquisition is expected to be accretive to adjusted free cash flows in its first full year and provide a cash on cash IRR above its cost of equity.