Under the agreement, Asahi Holdings (Australia) Pty Ltd, a wholly owned subsidiary of Asahi, will acquire 100% of the issued shares in P&N. The agreement is subject to regulatory approvals from the Australian Competition and Consumer Commission and the Foreign Investment Review Board. The acquisition is expected to be completed by the end of November 2010.
Following the acquisition of Schweppes Holdings Pty Ltd in April 2009, the acquisition of P&N will further strengthen Asahi’s Australian and overseas soft drinks business. Through integrating P&N and Schweppes, Asahi will capture synergies across the Asahi group of companies and establish a solid platform in Australia that will facilitate Asahi group companies’ growth in Oceania.
The total purchase price for this transaction is A$364m. The purchase price will be subject to price adjustments at completion, based on the level of working capital, cash on hand and interest bearing debts at the time of completion of acquisition of P&N.
Through the acquisition of P&N, Asahi Group aims to enhance its position within the Australian beverage market. Integration of Schweppes and P&N will enable both to take advantages of the integrated portfolio and efficiencies deriving from the combined supply chain system.
This acquisition will deliver significant growth opportunities and synergies within the Australian and overseas soft drinks businesses of Asahi Group.
Following this announcement, P&N and Schweppes will together establish an integration executive committee to begin preparations, aiming to realise synergies as soon as possible.
Source: Asahi Breweries
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