The Canadian drinks production and packaging company Wildpack Beverage has agreed to acquire aluminium cans filler Vertical Distilling for $4.5 million in a cash deal.
The company stated that the Colorado-based, Vertical Distilling is the ‘leading filler’ in its home territory and encircling states, establishing it as a vital region for the middle market beverage industry and inherent to Wildpack’s growth strategy.
The finalization of the agreement will enable Wildpack’s expectation to see several synergistic opportunities, which comprises adding more shifts, the withdrawal of “throughput pinch points with light capital upgrades and the installation of new capabilities.”
Thomas Walker, Chief Growth Officer, Wildpack, said: “We have completed two acquisitions pursuant to our previously announced letters of intent and are excited to see the third deal move to the definitive agreement stage.”
“The completion of consecutive acquisitions and the signing of this definitive agreement demonstrate our ability to efficiently discover, assess and close on targets that fit our strategic business plan. We are continuing to build our M&A team and believe the success of our acquisition strategy will be a critical aspect of our overall business strategy.”
Mitch Barnard, the CEO of Wildpack, added: “Every facility we add to our portfolio further solidifies our standing as a leading middle-market beverage manufacturer and provides us with an economic moat”.
“We have been effectively leveraging our near-term aluminium can advantage into our long-term facility network advantage ahead of our schedule and accretion targets.
“Our M&A, integration and upgrade teams are efficiently carrying out our growth strategy. We are one additional facility acquisition away from achieving our 2021 facility goals.”
However, the deal is expected to be concluded by the end of August 2021, subject to certain conditions, by that time Wildpack figures on commencing its ramp-up strategy.
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