COPENHAGEN (dpa-AFX) - Danish brewery group Carlsberg A/S (CABGY.PK), and
Britvic PLC, a British producer of soft drinks, Monday said they have agreed on
the terms whereby Carlsberg's unit Carlsberg UK Holdings Limited will acquire
Britvic for an enterprise value of about 4.1 billion pounds to be paid in cash.

The acquisition values at nearly 3.3 billion pounds on a fully diluted basis.

Carlsberg plans to create a single beverage company in the UK, to be named
Carlsberg Britvic. The company intends to take advantage of the highly
synergistic relationship between beer and soft drinks, including within the
areas of procurement, production, warehousing and distribution to increase
efficiency and better serve customer needs, Carlsberg said in a statement.

The purchase price represents a premium of 36 percent to the closing price of
Britvic Shares of 970 pence per share on June 19, 2024, the day prior to the
speculation of a possible offer.

The acquisition value represents approximately 13.6 times Britvic's adjusted
earnings before interest, taxes, depreciation, and amortization or adjusted
EBITDA of 303 million pounds for the 12 month period ended March 31, 2024.

As per the agreement, Britvic Shareholders will receive 1,315 pence per share,
including 1,290 pence per share in cash plus a special dividend of 25 pence per
share, to be paid by Britvic.

The acquisition is expected to add to adjusted EPS by mid-single-digit
percentages in the first year after completion of the acquisition, and by
double-digit percentages in year two.

As per the preliminary estimate, the business combination is expected to deliver
annual cost savings and efficiency improvements by about 75 million pounds,
after tax, over a period of five years.



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