C&C buys Constellation Brands' UK cider assets

30th Nov 2009 14:21

Magners maker C&C has agreed to buy the UK cider assets of Constellation Brands (CB), The Gaymer Cider Company for £45m in cash.The deal will be financed by a new bank facility of £60m.C&C expects that the transaction will be immediately earnings accretive and will generate a return on invested capital that will exceed the group's weighted average cost of capital in the first full financial year following the deal. The acquisition is expected to complete by mid-January, 2010, following consultation with employees.