pounds 215m bid for cider maker
Your support helps us to tell the story
From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.
At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.
The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.
Your support makes all the difference.CANANDAIGUA, the New York-based beer, wine and spirits producer and wholesaler, yesterday agreed to pay 243p a share in cash for Matthew Clark, the UK drinks wholesaler and cider maker.
The price offered by the fourth-biggest US drinks business is 81 per cent above the market price a fortnight ago just before Matthew Clark said that it was in possible takeover talks. It values the company at pounds 215m. Matthew Clark's board is recommending the bid.
Matthew Clark's profits reached pounds 42.3m in 1996 at the height of the popularity of cider, but fell back to pounds 37.9m in the year to 30 April in spite of the acquisition of Taunton Cider. Profits are expected to fall further in the current year.
The shares touched a peak of 801p two years ago, but fell to 134p last month. Yesterday they jumped by 48p to 239.5p.
Canandaigua intends to use Matthew Clark as a platform from which to make further acquisitions to raise its international profile, said Richard Sands, the president and chief executive officer.
Canandaigua is the second-largest wine producer and distributor in the US, the second-largest marketer of imported beers, and the fourth-largest spirits producer.
Of its four leading wine brands, only Paul Masson is known in the UK. Its main spirit brands, including Fleischman's gin, Barton vodka, Paul Masson brandy, Montezuma tequila and Canadian LTD whisky, are little known outside the US.
In its financial year to February 1998 Canandaigua made a profit of $84.9m (pounds 51.1m) on a turnover of $1.6bn.
Join our commenting forum
Join thought-provoking conversations, follow other Independent readers and see their replies
Comments