TAMPA, FL, Feb. 28, 2020 /CNW/ - Cott Corporation (NYSE:COT;
TSX:BCB) continues its transition into a pure-play water
solutions provider with today's announcement that it has closed the
previously announced sale of S&D Coffee and Tea ("S&D") to
Westrock Coffee Company, LLC ("Westrock Coffee") for $405 million on a debt free and cash free
basis.
S&D has provided quality beverages since 1927 and is a U.S.
market leader in custom coffee roasting and the largest blender of
iced teas for food service and convenience stores in the United States. S&D is also a leader in
the high growth category of extracts and ingredients.
"I would like to take this opportunity to thank Ron Hinson, CEO of S&D Coffee & Tea, and
all of the management and team members of S&D who have grown
this business over the years and wish them the best as they enter
the next chapter in the company's storied history," said
Tom Harrington, Cott's Chief
Executive Officer. "We will use the proceeds from the sale of
S&D to complete the acquisition of Primo Water Corporation as
we transition to becoming a leading pure-play water solutions
provider. These transactions position us to accelerate top
and bottom line growth as well as margin expansion across our
business," continued Mr. Harrington.
BMO acted as financial advisor to Cott while
Faegre Drinker Biddle & Reath LLP acted as legal
advisor. Wachtell, Lipton,
Rosen & Katz acted as legal advisor to Westrock Coffee.
ABOUT COTT CORPORATION
Cott is a water and filtration service company with a leading
volume-based national presence in the North American and European
home and office delivery industry for bottled water, as well as a
leading position in filtration. Our platform reaches over 2.5
million customers across North
America and Europe and is
supported by strategically located sales and distribution
facilities and fleets, as well as wholesalers and
distributors. This enables us to efficiently service
residences, businesses, and small and large retailers.
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,
statements related to the completion of the Primo acquisition on
the terms proposed, the anticipated timing of the Primo
acquisition, the potential impact the S&D transaction and Primo
acquisition will have on Cott and related matters, and the
execution of our strategic priorities. 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 Primo acquisition and
other risks related to the completion of the Primo acquisition and
actions related thereto; and the effect of economic, competitive,
legal, governmental and technological factors on Cott's
business.
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
View original content to download
multimedia:http://www.prnewswire.com/news-releases/cott-announces-closing-of-the-sale-of-sd-coffee-and-tea-to-westrock-coffee-in-an-all-cash-transaction-301013404.html
SOURCE Cott Corporation
