TORONTO and TAMPA, FL, Jan. 17,
2018 /CNW/ - Cott Corporation (NYSE:COT; TSX:BCB) today
announced that the United Kingdom
("UK") Competition and Markets Authority ("CMA") has today
accepted in principle the remedy offered by Refresco on
January 10, 2018 in regards to Cott's
previously announced sale of its traditional beverage manufacturing
business ("Cott Beverages") to Refresco (Euronext: RFRG) for USD
$1.25 billion.
On January 3, 2018, Refresco was
informed by the CMA that the acquisition of Cott Beverages by
Refresco raised potential competition concerns in the UK for one
specific product category, namely "from concentrate" juice drinks
in PET using a special aseptic production process that allows them
to be sold preservative-free without refrigeration (APET). In
the UK, the combined company produces these products in only two
factories, Bridgwater (Refresco) and Nelson
(Cott).
Refresco, in consultation with Cott, offered a remedy that
principally consisted of the sale to a suitable purchaser of the
APET facility at the Nelson site to address the concerns raised by
the CMA. Refresco has appointed Rabobank to lead the sales
process. Following the closing of the transaction, which
Refresco anticipates will occur on January
30, 2018, Refresco will be required to hold the Cott UK
operations separately until all CMA requirements are met, while the
other jurisdictions will begin integration shortly after the
closing.
Commenting on today's announcement, Jerry Fowden, Chief Executive Officer of Cott,
said "We are excited to move forward in this process. With Refresco
announcing their expectation to close on the transaction at the end
of January, we will soon have a much stronger balance sheet and we
can fully dedicate our focus on the growth and expansion of our
route based services business in water, coffee, tea and filtration
solutions."
ABOUT COTT CORPORATION
Cott is a route based service company with a leading
volume-based national presence in the North America and European home and office
bottled water delivery industry and a leader in custom coffee
roasting, blending of iced tea, and extract solutions for the U.S.
foodservice industry. Our platform reaches over 2.3 million
customers or delivery points across North
America and Europe
supported by strategically located sales and distribution
facilities and fleets, as well as wholesalers and
distributors. This enables us to efficiently service
residences, businesses, restaurant chains, hotels and motels, small
and large retailers, and healthcare facilities.
ABOUT REFRESCO CORPORATION
Refresco (Euronext:RFRG) is the leading independent bottler of
soft drinks and fruit juices for retailers and A-brands with
production in Benelux, Finland,
France, Germany, Italy, Poland, Spain, the UK and the US. The company
realized in 2016 full year volumes and revenues of circa 6.5
billion liters and circa €2.1 billion, respectively. Refresco
offers an extensive range of product and packaging combinations
from 100% fruit juices to carbonated soft drinks and mineral waters
in carton, PET, Aseptic PET, cans and glass. Focused on
innovation, Refresco continuously searches for new and alternative
ways to improve the quality of its products and packaging
combinations in line with consumer and customer demand,
environmental responsibilities and market demand. Refresco is
headquartered in Rotterdam, the
Netherlands and has about 5,500 employees.
Safe Harbor Statements
This press release contains
forward-looking statements within the meaning of Section 27A of the
Securities Act of 1933 and Section 21E of the Securities Exchange
Act of 1934 conveying management's expectations as to the future
based on plans, estimates and projections at the time Cott makes
the statements. Forward-looking statements involve inherent risks
and uncertainties and Cott cautions you that a number of important
factors could cause actual results to differ materially from those
contained in any such forward-looking statement. The
forward-looking statements contained in this press release include,
but are not limited to the anticipated timing of the transaction.
The forward-looking statements are based on assumptions regarding
management's current plans and estimates. Management believes these
assumptions to be reasonable but there is no assurance that they
will prove to be accurate.
Factors that could cause actual results to differ materially
from those described in this press release include, among others:
the satisfaction of the conditions to the transaction and other
risks related to the completion of the transaction and actions
related thereto
The foregoing list of factors is not exhaustive. Readers are
cautioned not to place undue reliance on any forward-looking
statements, which speak only as of the date hereof. Readers are
urged to carefully review and consider the various disclosures,
including but not limited to risk factors contained in Cott's
Annual Report on Form 10-K and its quarterly reports on Form 10-Q,
as well as other filings with the securities commissions. Cott does
not undertake to update or revise any of these statements in light
of new information or future events, except as expressly required
by applicable law.
Website: www.cott.com
SOURCE Cott Corporation