by Eugene Vorotnikov FoodBizDaily.com Moscow
November 20 2009 - Central European Distribution Corporation (CEDC), the world’s largest vodka producer, is planning to generate an additional $330 million dollars for the redemption of the remaining 41% stake in a well-known Russian alcohol producer “Russkiy Alcohol»
"We hope to acquire a remaining stake in the Russian company during a year", - said the member of CEDC Board of Directors Sergei Kupriyanov. According to earlier reports, the companies have already reached an agreement of the gradual redemption of the remaining shares of “Russkiy Alcohol» by 2013.
The estimated annual turnover of the Russian high alcohol market is $17 billion. The world vodka consumption grows by 2-3% annually, allowing the largest corporations to expand its business.
Acquisition of the leader of the Russian high alcohol beverage market is considered as the beginning of foreign campaign to buy up the Russian spirits industry. Russkiy Alkogol is the third large transaction performed by CEDC in Russia: in 2007 the Polish Corporation took over Parliament Company and negotiated acquisition of 49.9% of voting stock in Whitehall alcohol distributor.
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Central European Distribution Corp
Address: Two Bala Plaza Suite #300 Philadelphia, PA 19004 United States
Telephone: +1-610-6607817
Fax: +1-610-6673308
About Central European Distribution Corp
Central European Distribution Corporation (CEDC) is an integrated spirit beverages business. The Company produces vodka at Poland and is a distributor of alcoholic beverages. The Company is also an importer of spirits, wine and beer in Poland, Russia and Hungary. Its products are also exported out of Poland. CEDC offers a portfolio of alcoholic beverages with over 700 brands. In May 2008, the Company completed the acquisition of a 50% minus one voting power and 75% economic interest in the Whitehall Group. On March 11, 2008, the Company acquired 85% of the share capital of Copecresto Enterprises Limited, a Cypriot company. On July 9, 2008, the Company closed a strategic investment in RAG through an equity investment which provided the Company with an indirect stake of approximately 42% in RAG. On September 24, 2009, the Company closed its acquisition of the remaining 15% interest in Copecresto Enterprises Limited.