TAMPA, FL, U.S. – Cott Corporation continues its transition into a pure-play water solutions provider with today’s announcement that it has closed the previously announced sale of S&D Coffee and Tea (“S&D”) to Westrock Coffee Company, LLC (“Westrock Coffee”) for $405 million on a debt free and cash free basis.
S&D has provided quality beverages since 1927 and is a U.S. market leader in custom coffee roasting and the largest blender of iced teas for food service and convenience stores in the United States. S&D is also a leader in the high growth category of extracts and ingredients.
“I would like to take this opportunity to thank Ron Hinson, CEO of S&D Coffee & Tea, and all of the management and team members of S&D who have grown this business over the years and wish them the best as they enter the next chapter in the company’s storied history,” said Tom Harrington, Cott‘s Chief Executive Officer.
“We will use the proceeds from the sale of S&D to complete the acquisition of Primo Water Corporation as we transition to becoming a leading pure-play water solutions provider. These transactions position us to accelerate top and bottom line growth as well as margin expansion across our business,” continued Mr. Harrington.
BMO acted as financial advisor to Cott while Faegre Drinker Biddle & Reath LLP acted as legal advisor. Wachtell, Lipton, Rosen & Katz acted as legal advisor to Westrock Coffee.