Gruppo Campari has struck a deal with the CL Financial Limited group of companies to acquire an 81.4% ownership in Lascelles deMercado & Co. Limited, which comprises leading rum brands such as Appleton Estate, Appleton Special/White, Wray & Nephew and Coruba.
Lascelles deMercado & Co is a publicly traded holding company, based in Kingston, Jamaica.
The total purchase price for all of the share capital is US$414,754,200 (or around €330 million at current exchange rate) on a cash free/debt free basis.
This transaction marks the third largest acquisition in Campari’s history and positions the group as a leading producer of premium rum globally.
Campari CEO Bob Kunze-Concewitz said: “With Lascelles deMercado, the award winning distiller of world class premium dark, overproof and gold Jamaican rums, we are once again leveraging our acquisition framework in a very disciplined and consistent manner for future growth.
“The addition of the Appleton, Wray & Nephew and Coruba rum brands as well as a portfolio of local Jamaican brands will help us build our critical mass further in key North American markets, provide a leading market position in Jamaica, a major destination in the Caribbean, whilst laying the foundations for future international growth across all major usage occasions of the growing and premiumising rum category. When completed, this acquisition will give a further boost to the internationalisation of Gruppo Campari, further expanding our business outside of Italy, as well as strengthening our largest and most profitable business, the spirits segment.”
In the fiscal year ended 30 September 2011, the Lascelles deMercado rum and spirits portfolio achieved total sales volume of 3.5 million 9 litre cases.
In the full year ended September 30, 2011, the Acquired Business achieved total pro-forma sales of US$265.4 million and a pro-forma EBITDA of US$24.2 million.
The completion of the acquisition and the formal tender offer process are subject to various closing conditions and are expected to occur in the fourth quarter of 2012.
