FDBusiness.com

Beam Enters Irish Whiskey Market With $95 Million Acquisition of Cooley Distillery

 Breaking News
  • Ebro Expands in Pasta With €130 Million Deal Spanish food group Ebro has agreed to acquire a 70% stake in Bertagni 1882, the Italian premium fresh pasta producer, for €130 million. With production plants in Vicenza and Avio in Italy, Bertagni employs 275 people and is known as the oldest brand of filled pasta in Italy. Its gross sales in 2017 will exceed [...]...
  • 100% Green Distillery to Open in Yorkshire A Yorkshire-based gin and whisky distillery is one of only three in England to be run solely on green energy. As England’s smallest and first self-built whisky and gin distillery, Cooper King Distillery will commence production of its juniper-led gin and open its doors to members of the public this spring, the whisky distillation will follow [...]...
  • ULMA Packaging’s Flexible Solution Helps Make Dairy’s Day Dairy Day, a Watford-based specialist in artisan cheeses, has reported a significant increase in production since replacing a manual packing machine with ULMA Packaging Ltd’s TFS 200 Thermoformer – providing the family-run business with the extra capacity it needed to meet the increasing demand from retailers and foodservice customers for its handmade halloumi cheese. Investing in a packaging system is [...]...
  • Wavegrip Introduces New Service WaveGrip, manufacturer of innovative beverage multi-packaging solutions, has launched a dedicated machine manufacturing and engineering support service. Combining all WaveGrip automation, engineering and global servicing capabilities, including its OEM partners, the new WaveTec service will ensure WaveGrip Applicators continue to deliver the best performance to support companies’ multi-packing needs. WaveTec will also give all WaveGrip customers [...]...
  • Riggs Autopack Ltd – British Manufacturer of Depositors & Filling Machines For Food Production Riggs Autopack is a British manufacturer of high quality depositors and filling machines, transfer pumps and automatic conveyor filling lines. They are a UK market leader with an excellent reputation and supply their equipment to the food production industry. Their Model 1000 volumetric depositors and filling machines are one of the most precise and hygienic on [...]...

Beam Enters Irish Whiskey Market With $95 Million Acquisition of Cooley Distillery

Beam Enters Irish Whiskey Market With $95 Million Acquisition of Cooley Distillery
December 19
11:57 2011

Beam, the US-based international spirits group, is entering the fast growing Irish whiskey category with the purchase of Cooley Distillery in Ireland. The purchase price for Cooley, the industry’s only remaining independent Irish whiskey distillery, is approximately $95 million on a debt-free basis.

 

Cooley owns and produces the Kilbeggan,Connemara, Tyrconnell and Greenore brands. It currently sells approximately 250,000 9-litre cases per year – divided among its brands, private label products and bulk sales to third-party customers – and has production capacity to support substantial future growth. Beam expects the acquisition to be earnings neutral in 2012 and increasingly accretive moving forward.

 

“Cooley is one of only three sources for Irish whiskey, and the only independent player, so this transaction is a unique and compelling high-return opportunity to enter one of the industry’s highest growth categories,” explains Matt Shattock, president and chief executive of Beam. “We see the opportunity to leverage our combination of scale with agility to further build consumer demand for Cooley’s award-winning brands, and to expand distribution off a relatively small base in key export markets for Irish whiskey across North America and Europe. Cooley’s brands and distilleries have a heritage that’s unmatched in the world of Irish whiskey, so they will be a great fit with our portfolio of brands with long and rich histories.”

 

John Teeling, chairman and founder of Cooley Distillery, comments: “Beam understands whiskey. They have the culture, experience and global strength to enable the Cooley portfolio of brands to reach their potential in the fast growing Irish whiskey category. The renaissance in Irish whiskey, most evident in the United States, is now spreading across the world. Through Beam, our brands, built on quality, will be introduced to a host of new consumers. I am certain that the marriage between Cooley and Beam will benefit all.”

 

With both grain and malt distilleries, Cooley is able to produce a complete range of Irish whiskey styles. The company’s Kilbeggan Distillery, opened in 1757, is reputed to be the world’s oldest distillery and produces Cooley’s flagship blended Irish whiskey. Cooley’s many accolades include being named European Spirits Producer of the Year for an unprecedented four consecutive years by the International Wine & Spirit Competition (2008-2011).

 

The Irish whiskey category grew 11.5% in 2010 to 4.86 million cases according to Impact Databank. The leading markets for Irish whiskey, according to Impact, are the United States, Ireland, the United Kingdom, France, South Africa and Germany.

 

The transaction is structured as a tender offer in which Beam will offer Cooley’s stockholders $8.25 in cash for each outstanding share of Cooley stock. The transaction is conditioned upon holders of at least 80% of Cooley’s outstanding stock accepting the offer and other customary closing conditions. Holders of over 75% of Cooley’s outstanding stock have irrevocably agreed with Beam to tender their shares in the offer. The parties expect to complete the transaction in the first quarter of 2012.

About Author

mike

mike

Related Articles



Food & Drink Business Conference & Exhibition 2016

Upcoming Events

  • January 19, 2018International Green Week
  • January 20, 2018Sigep Rimini
  • January 24, 2018International Bulk Wine and Spirits Show (IBWSS)
  • January 28, 2018ProSweets Cologne (Int'l Sweets and Biscuits Fair)
AEC v1.0.4

find food jobs

The Magazine

F&D Business Preferred Suppliers

New Subscriber





Subscribe Here



Advertisements