Bulgaria Oks Advent Squeeze Out Proposal for Devin

Business | April 13, 2010, Tuesday // 13:38|  views

Bulgaria's leading water bottling company Devin has a new owner - global private equity fund Advent International. File photo

Bulgaria's financial watchdog gave the green light to US-based Advent International squeeze out proposal for approximately 1% of the shares in leading Bulgarian mineral water bottler Devin, the company announced.

The squeeze out proposal will be launched jointly by Advent Water (Luxembourg) s.a.r.l. and Devin’s senior managers, who hold a combined share of 99% of Devin’s capital.

The price has been set at BGN 3.50 per share.

The squeeze out proposal will be valid for one month from the date of publication and is part of the process of reducing remaining minority holdings in Devin and delisting the company from the Public Register.

Shares of shareholders who do not accept the squeeze out proposal will be transferred automatically to Advent. These shareholders have a period of up to 5 years during which they can collect the consideration for their shares, at a price of BGN 3,50 per share.

The squeeze out proposal has been published on Tuesday in Dnevnik and Pari newspapers.

Advent International started to delist leading Bulgarian mineral water bottler Devin from the Bulgarian Stock Exchange (BSE) in February 2010 after the acquisition of more than 95% of its shares.

The tender offer, launched jointly by Advent and Devin’s top managers, who held a combined share of 90.1% of Devin’s capital, was approved by shareholders, who held a 7,8% share of Devin's capital.

As a result Advent International acquired a 97,9% stake in Devin and was allowed to start the delisting of the company as it has acquired more than 95% of its shares.

In September last year Advent International acquired a 79% stake in Bulgaria's leading water bottling company Devin, majority owned by Austria's Soravia Group.

Advent bought the stake at a price of BGN 3.06 a share, valuing the company at a total enterprise value of EUR 40 M.

Soravia acquired full control of Devin and distributor Devin Royal in 2005 for an undisclosed sum.

Advent has been active across Central Europe for 15 years and has already made several investments in the food and drink sector Brewery Holdings in Romania, Star Foods in Poland, Uno in Turkey and Graffigna in Argentina. It is banking on further growth for Devin.

Founded in 1992, Devin has grown into the country’s number one bottled water company with its self-branded product, according to Advent. The drinks company has also established distribution agreements in Bulgaria for Red Bull and the juice brand Granini in the past two years.

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Tags: Devin, Advent


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