Business
Lassonde Industries Inc. completes acquisition of Clement Pappas and Company, Inc.
ROUGEMONT, QC, Aug. 12, 2011 /CNW Telbec/ - Lassonde Industries Inc. (TSX: LAS.A) ("Lass...
About this update from Lassonde Industries, Inc. Class A
[{"type":"text","content":"\n\n\n\n\n\nROUGEMONT, QC, Aug. 12, 2011 /CNW Telbec/ - Lassonde Industries Inc.\n (TSX: LAS.A) (\"Lassonde\"), along with members of the Pappas and\n Lassonde families, has completed the previously announced acquisition\n of Clement Pappas and Company, Inc. (\"Clement Pappas\"), for a total\n cash consideration of US$400.9 million, including a US$10.9 million\n preliminary adjustment to net working capital, subject to additional\n adjustments. Lassonde has a beneficial ownership of 70.7% of Clement\n Pappas. Of the remaining 29.3%, 19.3% is held by members of the Pappas\n family and 10.0% by members of the Lassonde family.\n\n\n\"The completion of the Clement Pappas transaction is a significant\n milestone for Lassonde,\" said Pierre-Paul Lassonde, Chairman of the\n Board and Chief Executive Officer of Lassonde Industries Inc. \"The\n combination brings together two leading fruit juice and drink\n manufacturers to form a leader in the North American market, one that\n will maintain its commitment to innovation, quality and integrity. We\n are very pleased to welcome the employees and management of Clement\n Pappas into the Lassonde organization.\"\n\n\n\"The two companies are very complementary and, together, have a balanced\n business and well-diversified product offering,\" said Jean Gattuso,\n Chief Operating Officer of Lassonde Industries Inc. \"By leveraging the\n strengths of our two companies, we will be able to even better serve\n the current and future needs of our customers.\"\n\n\n\"We are extremely excited to join forces with Lassonde. The combination\n brings us tremendous opportunity to grow our business across North\n America while maintaining our strong core values. It is truly rare to\n find a partner with such a strong fit from both a strategic and\n cultural perspective,\" said Clement Pappas, Chief Executive Officer of\n Clement Pappas and Company, Inc.\n\n\nThe Clement Pappas acquisition, including related fees, was made for a\n cash price of US$414.0 million financed as follows:\n\nI.\n\n\nDebt financing (non-recourse to Lassonde) obtained by Clement Pappas,\n totalling US$253.1 million and comprised of:\n\n\n \n\n\n \n\n\na.\n\n\na US$230 million term loan bearing interest at a rate of LIBOR plus\n 5.25% with a LIBOR floor of 1.25%, maturing in 2017. This loan ...