“Should the SABMiller acquisition of Foster’s go ahead we believe this is a great deal for CCA and our shareholders as it represents a strong return on our investment.
It will deliver approximately $305 million to CCA and we will also get the opportunity to acquire some Foster’s assets – spirits, RTDs, soft drinks and the Fiji brewery – at very low multiples which means they will be immediately EPS accretive to CCA.
CCA will be able to continue in beer outside Australia in its own right whilst we observe a non-compete in beer for two years in Australia.
We are still in the business of alcohol – it is is a key future growth pillar for CCA.
Our successful Beam spirits and RTD portfolio will not be affected by the SABM/Foster’s deal and we’ll be focusing on growing the Beam partnership, where we produce, sell and distribute Australia’s biggest selling RTD, Jim Beam and Cola, and we also have a large portfolio of premium brands.
Until the SABMiller / Foster’s deal goes through our teams will be continuing to service our licensed customers as usual with our full portfolio.”
Pacific Beverages, a joint venture between SABMiller and Coca-Cola Amatil, commenced brewing new brands and SABMiller products at a new Bluetongue brewery in Warnervale last year.
For details on the future of Pacific Beverages, click here.