- THE MAGAZINE
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- BEVERAGE R&D
Lassonde Industries Inc., a manufacturer and marketer of fruit juices and juice drinks based in Rougemont, Quebec, completed its previously announced acquisition of Apple & Eve LLC, Port Washington, N.Y., for a total cash consideration of $147.9 million. This amount reflects a preliminary adjustment of $2.1 million to the net working capital of the previously announced $150 million consideration and is subject to additional adjustments.
As a result of the transaction, Lassonde now has a beneficial ownership of 90 percent of Apple & Eve and its complete line of fruit juice and juice drink brands, which are distributed across the United States. Members of the Lassonde family own the remaining 10 percent equity interest through their existing equity interest in the acquiring U.S. subsidiary US Juice Partners LLC and a proportionate capital contribution to the acquisition financing.
The acquisition and certain fees have been financed as follows: $75 million under the term credit facility of a Lassonde U.S. subsidiary; $67.5 million from a combination of cash, cash equivalents on hand, and Lassonde's Canadian operating credit facility; and the remaining $7.5 million provided by equity investment of members of the Lassonde family. Financing fees are estimated at $2 million, while other fees related to the transaction are estimated at $3.5 million.
Apple & Eve was founded by the Crane family 40 years ago and offers more than 100 different juice products sold under its flagship brand name, Apple & Eve, as well as a portfolio of sub-brands including Organics, Fruitables, Quenchers, Waterfruits and Sesame Street. Additionally, it owns and markets juices under the Northland, Seneca and The Switch brand names.