Business
Lassonde Industries Inc. increases its equity interest in Clement Pappas and Company, Inc.
ROUGEMONT, QC, May 21, 2013 /CNW Telbec/ - Lassonde Industries Inc. (TSX: LAS.A) ("Las...
About this update from Lassonde Industries, Inc. Class A
[{"type":"text","content":"\n\n\n\n\n\nROUGEMONT, QC, May 21, 2013 /CNW Telbec/ - Lassonde Industries Inc.\n (TSX: LAS.A) (\"Lassonde\") has agreed with members of the Pappas family\n to purchase all of the shares of Clement Pappas and Company, Inc.\n (\"CPC\") held by the Pappas family members other than Clement David\n Pappas, a long-time CPC executive and its current CEO. The purchase\n price of US$ 21.2 million is to be paid cash and will be funded out of\n Lassonde's working capital. Closing of the transaction is expected to\n occur in May 2013.\n\n\nThis transaction extinguishes financial liabilities associated with the\n purchased shares, accounted for as retractable financial instruments.\n As a result, the Company expects that a gain, net of related costs,\n totalling approximately US$ 0.8 million will be recognized.\n\n\nUpon closing of the transaction, Lassonde's equity interest in CPC will\n be increased from 70.7% to 84.0%; of the remaining 16.0%, 6.0% is held\n by Clement David Pappas and 10.0% by members of the Lassonde family.\n Lassonde has also agreed to guarantee a minimum price upon exercise of\n the existing put and call rights provided in the CPC shareholders\n agreement in respect of the shares held by Clement David Pappas.\n\n\n\"Our investment in CPC in 2011 was made in accordance with our business\n and strategic plan. This additional investment in CPC confirms our\n confidence in the success of this plan and in our continued partnering\n with CPC's lead executive,\" said Mr. Pierre-Paul Lassonde, chairman and\n CEO of Lassonde Industries Inc.\n\n\nAbout Lassonde Industries Inc.\n\n\nLassonde Industries Inc. is a North American leader in the development,\n manufacture and sale of a wide range of fruit and vegetable juices and\n drinks marketed under brands such as Everfresh, Fairlee, Flavür,\n Fruité, Graves, Oasis and Rougemont.\n\n\nLassonde is also the second largest producer of store brand\n ready-to-drink fruit juices and drinks in the United States and a major\n producer of cranberry juices, drinks and sauces.\n\n\nLassonde also develops, manufactures and markets specialty food products\n under brands such as Antico and Canton. The Company imports and markets\n selected wines from various countries and manufactures apple ciders and\n wine-based beverages.\n\n\nThe Company produces superior quality produc...