Constellation Brands Inc., an international producer and marketer of alcoholic beverages such as Corona beer and Fleischmann's vodka, completed the purchase of Canadian wine company Vincor International Inc. for $1.11 billion and the assumption of debt

Food & Drink Weekly, June 12, 2006

Constellation Brands Inc., an international producer and marketer of alcoholic beverages such as Corona beer and Fleischmann's vodka, completed the purchase of Canadian wine company Vincor International Inc. for $1.11 billion and the assumption of debt. Constellation acquired all of the issued and outstanding common shares of Vincor for a cash price of $32.94 per share.

Including Vincor's net debt of $344 million Canadian ($310.5 million), direct acquisition costs of about $11.74 million and equity, the total sale value increases to about $1.42 billion. In connection with the deal, Constellation closed on a new $3.5 billion credit facility, replacing a $2.9 billion credit facility. Constellation said the acquisition makes Canada the company's fifth core market--along with the U.S., Europe, Australia and New Zealand.