Bacardi's Atul Vora (left) and Geoff Ross. Photo / Martin Sykes
Bacardi's Atul Vora (left) and Geoff Ross. Photo / Martin Sykes
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Global drinks giant Bacardi has won complete control of vodka-maker 42 Below, declaring yesterday that its $138 million bid was unconditional.
Bacardi said it had acceptances for 92.19 per cent of 42 Below shares, taking it past the 90 per cent threshold to compulsorily acquire the rest.
That92.19 per cent holding includes the 6.9 per cent stake of a principal of 42 Below's US distributor Panache, and another small stake held by another Panache principal.
There has been controversy over whether the pair effectively got a "sweetheart deal" for their shares that was better than other shareholders received.
A report from advisers Grant Samuel said the arrangements covering these shares did not constitute an extra payment to the pair.
The Takeovers Panel declined to comment yesterday on whether it was looking at the issue.
Bacardi's vice-president of business development, Atul Vora, said: "There are no question marks around any of the acceptances received. Bacardi is delighted that 42 Below shareholders have seen the value in Bacardi's offer and we're looking forward to nurturing this brand to allow it to reach its full potential."
The founder of 42 Below, Geoff Ross, and his related parties will gain $30 million from the deal. Ross and other staff will also stay on at 42 Below.
