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Kez, enough with the "didn't see" already. It is getting old. Ad nauseum in fact. It's called "sources familiar with the business" of which this company has many, this board has many, and from this side of the fence I see none anywhere else worth listening to. as soon as you have 25+ years in the business, I'll start listening. Until then...road noise. Want to make a deal on a rolex?
"Scuttlebutt"? "Issue flares up again"? Seems the City of Rochester going to be none too thrilled to have High Falls go through even more changes which will undoubtedly end in them exiting the city. Same with Labatt exiting Buffalo.
http://www.democratandchronicle.com/apps/pbcs.dll/article?AID=200990210021
Not yet, not until formal news is out on things.
My guess is the two companies not commenting on the Labatt deal are sending a signal they are the ones doing the deal.
Labatt for $100 million is not "several hundred million dollars."
And as for those "marketing types."
Snyder founded Sobe with Schwalm. Snyder went to be CEO of High Falls.
I don't see Snyder cooking deals with Bronfman and Bernman. I don't see High Falls with any icons or an expanded business model of any kind.
I'll take the guys with 25+ years in the biz from Seagrams and the co-founder of Sobe with 25+ years in the beer biz to come out of retirement for what ever it is they please.
I'll tell Ford and GM to fix the economy and get the 40%+ drop in sales taken care of first before announcing the 2010 models and putting those out.
Whoops too late. We'll put your theory into effect next year. How's that?
The neat thing about the CEO announcing that Drinks "is in acquisition mode" is that we are free to talk about every imaginable acquisition out there....
And eventually we will be right.
And even more exciting is to see one come and go, have somebody sell because we didn't get it, when there hasn't ever been anything priced into this stock that we would would get one, let alone the one we already did in Olifant....
Only to have one be announced the next day.
Correct and good that you noticed.
Nothing publicized Coach. But there wouldn't be until a firm deal was in place as with any JV. Just what's out in the network. You know, like all this talk of who the bidders are by Bizjournals and WSJ when there is undoubtedly an iron clad NDA in place that would cause ABIB to pull the rug out from under any players for breaching it.
At least this article proves yet another thing I stated. That High Falls is in the same shape as Drinks. So, let them get bought out in the process. Which means High Falls was never the bidder, it was KPS.
All part of the bigger picture I suppose.
Now wouldn't it be funny if KPS was fronting a JV for and with Drinks?
Poof! Instant brewery for making Labatt AND Kid Rock.
I wonder if this means anything...
http://online.wsj.com/article/SB123414107623661763.html?mod=googlenews_wsj
February 9, 2009
.KPS Capital Aims to Move Into U.S. Beer Market .Article
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By DAVID KESMODEL and PETER LATTMAN
Private-equity firm KPS Capital Partners LP is angling to become a player in the U.S. beer industry.
The company is in the final stages of closing a deal to acquire High Falls Brewing Co., the closely held maker of the Genesee and Dundee beer brands, according to people familiar with the matter. It also is among the final bidders for Labatt USA, an arm of the world's largest brewer, Anheuser-Busch InBev.
KPS hopes to combine High Falls and Labatt USA, both based in upstate New York, and explore other transactions in the industry, which is undergoing rapid consolidation.
The New York-based private-equity firm, with $1.8 billion under management, focuses on buying troubled companies with operational problems that it believes can be fixed.
KPS started looking at Rochester-based High Falls, whose roots date to 1857, last fall. To help it exert influence over the company, KPS acquired High Falls senior debt from Connecticut-based hedge fund Basso Capital.
The firm is negotiating with the company's owners to gain control of the company. An acquisition of High Falls could close in the next few weeks, people familiar with the matter said.
In the auction of Labatt USA, KPS is competing with bidders such as C2 Imports LLC, a California-based beer importer led by a former Anheuser executive, Charlie Cindric, according to people familiar with the matter.
Labatt USA is on the block because the Justice Department's antitrust division agreed to bless Leuven, Belgium-based InBev's $52 billion acquisition of Anheuser-Busch last year only if it relinquished the Buffalo subsidiary. Labatt USA, a 55-employee company, imports Labatt Blue and other brands from Anheuser-Busch InBev's Canadian unit, Labatt Brewing Co. Ltd. Those brands, while posting sluggish sales growth lately, have high market shares in upstate New York, and a buyer could try to expand their shares elsewhere in the U.S.
Industry newsletter Beer Marketer's Insights previously reported that KPS might acquire High Falls and Labatt USA.
People familiar with the matter said Labatt USA, whose total U.S. market share is less than 1%, may fetch roughly $100 million.
High Falls Chief Executive Norman Snyder declined to comment. A spokeswoman for Anheuser-Busch InBev declined to comment. A KPS spokesman also declined to comment.
In mid-November, the Justice Department gave Anheuser three months to complete a sale of Labatt USA. But last week, the government gave the company a 30-day extension, until March 14, to complete a sale. Second-round bids were due Jan. 29, and no company has emerged as a winner yet.
KPS likely sees an opportunity to leverage the brewing operation of High Falls in Rochester to win a deal for Labatt. The Justice Department settlement requires the buyer of Labatt USA to eventually brew the beers, rather than merely marketing and selling them.
High Falls makes brands such as Genesee and Genny Light that are well-known in upstate New York, as well as craft beers known outside the Northeast such as Dundee's flagship beer, Honey Brown Lager.
Write to David Kesmodel at david.kesmodel@wsj.com and Peter Lattman at peter.lattman@wsj.com
I meant just to come over to say hello and "share a story or two."
Johnny, I'm gonna have my SIL come pay you a visit. Send me a PM with your bar location. He is at Carmines in the Theater District. He's getting them to stock all Drinks products at all their locations. He'll be on yet another upcoming episode of Law and Order. Great actor. Great singer.
Kid Rock was good doing a medley of Amen, All Summer Long, and Rock 'n Roll Jesus.
Right, and DK bid $40 m. Hard to believe they couldn't find 10 times that now with EB and Bernman running the show from backstage.
I keep coming back to Rolling Rock. Back in '06 when 99% of you didn't even know this company existed, and Trump was just being announced, I learned that Drinks was going to buy RR. Didn't matter as I wasn't a shareholder. It made for good table conversation. Then AB swooped in and grabbed it at the last.
It was InBev who wanted to part with it. AB picked it up. InBev has it back again.
Duh.
Kid Rock two awards tonight. Up for Best Rock song and rock album I believe.
Banned??
I fail to see why!
September, round bout the time the divestiture seemed like it had no choice but to happen.
Just too eerie for me...
We have a trademark on Blue right?
And Labatt USA is for sale.
With Labatt for sale...
That makes Rolling Rock next in line to be sold yet again. $40 mil in annual sales. After Labatt goes, $70 mil a year left.
Funny how Rolling Rock just introduced this beer...
http://beeradvocate.com/beer/profile/174/42176
Rolling Rock Red??
And we have the trademark on Rock Red.
Kid Rock?
Things are getting mighty convenient. Do the digging and you'll see who is sleeping with whom.
So, we owned this one, and let it go....
http://www.1812ale.com/
Interesting now that High Falls has taken over the brewing contract and the capacity increases.
http://www.seawayvalleycapitalcorp.com/portfolio
Why, yes it was and the results are in...
http://finance.yahoo.com/news/2009-Labatt-Blue-Pond-Hockey-prnews-14287257.html
Last year's:
So much for Reg FD eh??
Well, from what I've been able to gather, HF is in pretty much the same shape as DKAM as far as cash flow and debt is concerned. VC is the least of our concerns.
I mean, think about it. How on earth would Kenny find the where with all to say the company is in acquisition mode if he didn't have some backers in his hip pocket?
In case you never did see it, it's nice to go back. Everyone thinks we just make this stuff up, when it's much simpler to just pick and choose what you share and what you don't.
If the ailing music business can't find strong medicine to offset a seven-year slide in sales, maybe a stiff drink will do.
Drinks Americas Holdings Ltd., the company behind a Donald Trump vodka, Willie Nelson's "Old Whiskey River" bourbon and a line of Paul Newman-branded juice drinks, is set to announce today an agreement with Universal Music Group's Interscope Geffen A&M label group. Universal Music Group is owned by French media conglomerate Vivendi SA.
The idea of the deal, executives of both companies said, is to come up with brands of drinks -- both alcoholic and nonalcoholic -- that bear the imprimatur of artists on Interscope's roster, which includes Eminem, producer Dr. Dre and Sting.
One of the most intriguing aspects of the deal is that record labels, including Interscope, nearly never control the rights to name and likeness rights like those needed to slap a celebrity's face or name on a bottle. One exception is the Pussycat Dolls, a female pop group; in that case, from the group's inception Interscope has been a participant in all kinds of licensing and merchandising deals.
The companies specified that it is Interscope's obligation to negotiate drinks deals with artists. Drinks Americas, of Wilton, Conn., will then create the beverages, while Interscope will kick in marketing support for both the newly minted products and its partner's existing line of drinks.
Steve Berman, president of sales and marketing at Interscope Geffen A&M, said the deal was a response to "the rapidly changing landscape of the record business," in which many record labels are scrambling to diversify their revenue streams. Warner Music Group Corp. recently struck a deal with manager Chris Lighty to find branding-and-endorsement opportunities in which Warner is to participate. One of Mr. Lighty's biggest clients is 50 Cent, who records for Interscope. Interscope doesn't as a rule participate in the rap star's many lucrative outside business ventures; Warner, a rival, now will, at least in some instances.
Drinks Americas Chief Executive Patrick Kenny acknowledged in an interview that a familiar name gets a product only so far. "They get trials from the consumer," Mr. Kenny said. "But you still have to deliver a product that pleases the consumer"
Mr. Kenny knows from experience how difficult it can be to integrate drinks and the music business. He was a marketing executive at Seagram Co. in 1995 when that liquor giant acquired MCA Inc., whose music division was later renamed Universal Music Group.
That relationship created little synergy. "I saw Seagrams struggle to leverage the Universal Music Group assets," Mr. Kenny said.
Source: Wall Street Journal
100% doubtful since the 60 day question/answer period has expired, and the 30 day public period is expiring. There is no time remaining for mandatory due diligence.
Answer by the 14th at the latest.
Happy VD to the winner!
I'll hold my breath for that Budweiser name change. Anybody care to join me?
That could be the most ridiculous thing I've ever heard. But alas...the weekend isn't over yet.
And the key caveat to the whole matter is that the Justice Department is not a purveyor of sound business judgment, risk analysis, profit/loss projections, capital backing, or future success of the brand.
The Dept. of Justice has one duty and one duty only; insure the total divestiture of Labatt and guarantee no further anti-trust issues.
And the key caveat to the whole matter is that the Justice Department is not a purveyor of sound business judgment, risk analysis, profit/loss projections, or future success of the brand.
The Dept. of Justice has one duty and one duty only; insure the total divestiture of Labatt and guarantee no further anti-trust issues.
http://www.buffalonews.com/businesstoday/businessfinance/story/572322.html
This would include closing.
And:
http://www.usdoj.gov/atr/cases/f242200/242228.htm
http://www.usdoj.gov/atr/cases/f242100/242160.pdf
All you want if you're into such things. Knock yourselves out.
http://www.usdoj.gov/atr/whatsnew.htm
I beg your pardon? Not even close.
Website is down. Just maybe we'll have a nice treat by day's end.
I think the "intent" of the reporter is to somehow assure, or reassure, the City of Buffalo that they won't lose their precious 20 employees or their reason for existence...the Pond Hockey Tournament.
There is no recent report naming KPS Capital Partners as a likely buyer for Labatt. All the companies involved in the bidding process, including their venture capital partners would be committed to a NDA. Therefore, if there was such a report, or if Mr. James Fink was privy to such a report that was circulating internally, then High Falls, if they were in the bidding process for Labatt, would be in breach of that agreement. Therefore, any and all other bidders would have cause for a lawsuit if they so chose to pursue one.
It's February dude. Back to reality.
Correct! I've never seen an SEC filing account for what is coming. Funny how that works.