Lassonde Industries Inc. to acquire U.S. branded juice company Apple & Eve, LLC of Port Washington, New York in a US$150.0 million transaction

Jul 04, 2014, 00:01 ET from Lassonde Industries Inc.

  • Lassonde Industries, one of North America's leading marketers and manufacturers of fruit juices and drinks, acquires a national fruit juice and drink brand in the United States.

  • Lassonde Industries to enter the branded juice business in the U.S. with an established platform for continued growth and new product innovation.

  • The acquisition will enable Lassonde Industries to strengthen its U.S. presence by leveraging synergies within its existing U.S. business.

ROUGEMONT, QC, July 3, 2014 /CNW Telbec/ - Lassonde Industries Inc. (TSX: LAS.A) ("Lassonde") has entered into a definitive agreement, through one of its U.S. subsidiaries, with US Juice Partners, LLC to acquire privately owned Apple & Eve, LLC of Port Washington, New York, for a total cash consideration of US$150.0 million payable at closing, subject to adjustments for working capital and other items.

Upon closing of the transaction, expected to occur in July 2014, Lassonde will have a 90% equity interest in Apple & Eve and its complete line of juice and drink brands distributed widely across the United States. Through their existing equity interest in the acquiring U.S. subsidiary and a capital contribution to the acquisition financing, members of the Lassonde family will own the remaining 10% equity interest.

"Our entry into the branded juice business in the United States represents another major milestone in our North American strategy," said Pierre-Paul Lassonde, Chairman of the Board and Chief Executive Officer of Lassonde Industries Inc. "It is aligned with our strategy of consistent, measured growth and enhances our overall position in the industry by providing an excellent platform for the future."

Financial Terms

The acquisition will be financed as follows: US$75.0 million under the term credit facility of a Lassonde U.S. subsidiary, US$67.5 million from a combination of cash, cash equivalents on hand and Lassonde's Canadian operating credit facility, with the remaining US$7.5 million provided by equity investment of members of the Lassonde family. Financing fees related thereto are estimated at US$2.0 million while other fees related to the transaction are estimated at US$3.5 million. Closing of the transaction is subject to customary terms and conditions, including receipt of regulatory approvals.

Benefits of the Transaction

The acquisition of Apple& Eve is expected to provide Lassonde with:

  • increased critical mass to support customers throughout the U.S. and benefits from combined logistics, distribution, purchasing and other economies of scale;

  • a more diversified and balanced product portfolio in the U.S. and an entry point in national brand products in the U.S. market; and

  • growth opportunities in the U.S. national brand juice and drink market for Lassonde's existing products.

"We are pleased to add one of America's best known juice brands to our portfolio," said Jean Gattuso, President and Chief Operating Officer of Lassonde Industries Inc. "Like Lassonde in Canada, Apple & Eve is synonymous with innovative products in the health and wellness segment in the U.S. We are confident in our ability to continue to grow the brand."

"I am so proud of what we have built at Apple & Eve over the last 40 years, and as CEO I look forward to entering this new exciting chapter together. By joining Lassonde, we will remain highly focused on creating innovative, on-trend products under the iconic Apple & Eve brand and the other strong brands in our portfolio," said Gordon Crane, Founder, President and Chief Executive Officer of Apple & Eve.

Apple & Eve

Apple & Eve is the leading independent branded juice company in the U.S., with total annualized net sales of US$190.0 million and a trailing 12-month adjusted EBITDA of US$15.2 million.

Founded by the Crane family in 1975, and headquartered in Port Washington, NY, the company focuses on healthy and innovative juice products. The Company offers more than one hundred different juice products sold under its iconic flagship brand name, Apple & Eve, and includes a portfolio of sub brands including Organics, Fruitables, Quenchers, Waterfruits and Sesame Street. Additionally, it owns and markets juices under Northland, Seneca and The Switch brands. Apple & Eve products are sold in supermarkets, mass merchandisers, warehouse clubs, natural food stores, schools and convenience stores across the country. For more information, visit

Lassonde Industries Inc.

Lassonde Industries Inc. is a North American leader in the development, manufacture and sale of a wide range of fruit and vegetable juices and drinks marketed under brands such as Everfresh, Fairlee, Flavür, Fruité, Graves, Oasis and Rougemont.

Lassonde is also the second largest producer of store brand ready-to-drink fruit juices and drinks in the United States and a major producer of cranberry sauces.

Lassonde also develops, manufactures and markets specialty food products under brands such as Antico and Canton. The Company imports and markets selected wines from various countries and manufactures apple ciders and wine-based beverages.

The Company produces superior quality products through the efforts of some 2,000 people working in 14 plants across Canada and the United States. To learn more, visit

SEDAR registration number: 00002099

Caution Concerning Forward-Looking Statements

This press release contains forward-looking statements that are based on certain assumptions. These forward-looking statements are subject to a number of risks and uncertainties that could cause actual results or events to differ materially from current expectations. Additional factors are discussed in materials filed from time to time with the securities regulatory authorities in Canada. Lassonde Industries Inc. disclaims any intention or obligation to update or revise any forward-looking statements except as required by law.

SOURCE Lassonde Industries Inc.