Cott Corp. Acquires Privately Owned Aimia Foods - Quick Facts

(RTTNews) - Soft drinks manufacturer Cott Corp. (COT) (BCB.TO) Friday said its U.K. unit has acquired all the subsidiary companies of food and beverages manufacturer Aimia Foods Holdings Ltd., in a bid to accelerate diversification of its business beyond juices and carbonated soft drinks. Cott Corp. expects the transaction to be accretive to earnings as well as free cash flow in the first year.

The consideration includes a closing payment of around $80 million in addition to an adjustment for working capital, deferred consideration of $33 million payable in September and on-target earnout consideration of $20 million with a minimum earnout consideration of $13 million and a maximum of $27 million.

Cott Corp. will fund this acquisition through cash on hand and borrowings under the company's asset based lending facility.

Aimia Foods is a privately owned company which employs 245 people in the North West of England. During the fiscal year ended March 31, 2014, the company generated revenues of about $110 million.