Cott buying Eden Springs
Steve’s breakdown: We got a retail trade/global lead here. This purchase is going to need some awareness work done and as far as I can see, they have no agencies on board.
TAMPA, FL: Bottling company Cott Tuesday said it has signed an agreement to buy Eden Springs, a European direct-to-consumer services provider, for EUR470 million ($534 million). The acquisition is expected to be accretive to adjusted free cash flows in its first full year and provide a cash on cash IRR above its cost of equity. It is also consistent with Cott’s stated diversification strategy to expand in home and office delivery water, coffee and tea services as well as filtration services. The stock fell to $14.65 at closing on Monday but at the top half of 52-week range $8.96 – $15.01.
The stock decreased 1.41% or $0.21 on June 6, hitting $14.65. Cott Corporation (USA) (NYSE:COT) has risen 42.51% since October 29, 2015 and is uptrending. It has outperformed by 41.55% the S&P500.
Cott Corporation, together with its subsidiaries, produces and sells beverages on behalf of retailers, brand owners, and distributors worldwide. Its product lines include carbonated soft drinks, juice and juice-based products, clear and flavored waters, energy drinks and shots, sports products, new age beverages, ready-to-drink teas and alcoholic beverages, beverage concentrates, liquid enhancers, and freezables, as well as hot chocolate, coffee, malt drinks, creamers/whiteners, and cereals. The company offers its products under various retailer brands, which include Cott and Red Rain brand in North America and the United Kingdom; Stars & Stripes, Vess, Vintage, So Clear, Shanstar, Harvest Classic, Chadwick Bay, Exact, Alhambra, Belmont Springs, Deep Rock, Hinckley Springs, Sparkletts, Crystal Springs, Kentwood Springs, Mount Olympus Standard Coffee, and Javarama brands in the United States; Emerge, Red Rooster, MacB, Carters, Calypso, Mr.
Freeze, Jubbly, Suso, Cafe Nueva, and Ben Shaws brands in the United Kingdom; Stars & Stripes brand in Mexico; and RC brand name in approximately 120 countries and territories outside of North America. It also provides contract manufacturing services. The companyÂ’s customers include grocery, mass-merchandise, drugstore, wholesale, and convenience store chains. Cott Corporation was founded in 1955 and is based in Tampa, Florida.
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