Parties
Company
Corby Spirit and Wine Limited
Company
Ace Beverage Group Inc.
On June 12, 2023, Corby Spirit and Wine Limited announced the acquisition of 90% of Ace Beverage Group Inc. for $148.5 million. Ace, established in 2013, is a leader in the Canadian Ready-to-Drink (RTD) market, known for its top brand, Cottage Springs, and other innovative brands like Ace Hill, Cabana Coast, and Liberty Village. This transaction, enhancing Corby's portfolio in the fast-growing RTD sector, signifies a strategic expansion into a segment where RTDs are outperforming other categories in the beverage alcohol market.
The deal combines Corby's and Ace's strengths in brand building, product development, and innovation, expected to create substantial value for Corby's shareholders. It is anticipated to be highly accretive, adding an asset-light, low capital expenditure business to Corby and expected to increase Corby's operating revenue by approximately 35%.
The transaction, expected to close in the first quarter of Corby's fiscal year 2024, was advised financially by National Bank Financial Inc. for Corby and Stifel for Ace. Legal advisors were McCarthy Tetrault LLP for Corby and Goodmans LLP for Ace.
Deal Type
Merger & AcquisitionIndustry
AgricultureTransaction
$ 148,500,000Deal Status
ClosedClosing Date
06 July 2023