Bacardi Limited, the largest privately held spirits company in the
world, today announced its plans to purchase the New Zealand spirits
company 42 BELOW Limited (NZX:FTB). Bacardi's all cash offer values
the company at approximately US$91m (NZ$138m). 42 BELOW is a publicly
traded New Zealand company, best known for its 42 BELOW vodkas.
"Bacardi is acquiring young premium brands in 42 BELOW. With
substantial investment by our company, 42 BELOW brands show long term
potential in the global spirits industry with a particular focus on
the growing Asia Pacific markets," said Andreas Gembler, President and
CEO of Bacardi Limited.
42 BELOW vodka was launched in 1998 in the premium vodka segment
and has shown strong volume growth in the last few years. The brand --
known for its innovative, irreverent and entrepreneurial style -- has
earned a strong reputation for authentic New Zealand purity, quality
and exceptional taste, reflected in winning numerous prestigious
international awards including gold medals (for the third year
running) at the 44th World Selection of Spirits and Liqueurs 2006
Belgium, the San Francisco Spirits Awards and the International Wines
& Spirits competition UK. 42 BELOW vodka is currently distributed in
more than 25 countries.
42 BELOW was judged New Zealand's fastest growing exporter,
fastest growing listed company and fastest growing company overall by
Deloitte in its 2005 Fast 50 study.
Bacardi expects to acquire the 42 BELOW brands of 42 BELOW Vodka,
including four flavoured vodkas -- Manuka Honey, Kiwifruit, Feijoa and
Passionfruit -- and the newly developed products of SOUTH Gin, STIL
Vodka, SEVEN TIKI White Rum, TAHITI DARK Rum and 420 spring water.
Geoff Ross, Chief Vodka Bloke of 42 BELOW, said, "We take immense
pride in having created a quality vodka brand with great recognition
and are thrilled to be acquired by a company with the clout of
Bacardi, who will maintain our brands' authenticity and allow 42 BELOW
brands to grow."
Bacardi has the support of the founding shareholders, major
shareholders and employees of 42 BELOW. Several have entered into
lock-in agreements to accept the Bacardi offer in respect of their
cumulative holding of 53.2% of 42 BELOW shares. Bacardi expects to
launch a formal takeover offer in the coming weeks in accordance with
the New Zealand Stock Exchange rules.
"This is a great development. We believe Bacardi, known for its
track record in growing acquired brands and substantially investing
behind them, is the best company to grow our products in the global
spirits market," said Grant Baker, Executive Chairman of 42 BELOW.
About Bacardi Limited
Bacardi Limited is the largest privately held spirits company in
the world and produces and markets a variety of internationally
recognized spirits. Bacardi Limited's brand portfolio consists of more
than 250 brands and labels, including BACARDI rum, the world's
favorite rum; MARTINI & ROSSI vermouth, the world leader in vermouth,
GREY GOOSE vodka, the world leader in ultra-premium vodka; DEWAR'S
Scotch whisky, the number one selling blended Scotch whisky in the
United States; BOMBAY SAPPHIRE gin, the top super premium gin in the
United States; CAZADORES blue agave tequila, the top selling 100
percent blue agave tequila worldwide and other leading brands.
