Distell invests US$1.5m in waste water treatment and reuse to address shortage

SOUTH AFRICA – South Africa’s leading producer of spirits, fine wines, ciders and ready-to-drinks (RTDs), Distell has invested US$1.54 million in waste water treatment and re-use programmes to check on supply shortages experienced especially during drought seasons. Business Day reports that the move further mitigates against further water supply risks seen in the drought-hit Western Cape, where there was shortage in the supply of grapes and wine affecting Distell’s operation in the medium term. “The current 38.1% reduction in water usage as of June 2018 in the Western Cape has…

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Distell’s revenue grows 10.4% on higher volumes in the full year

SOUTH AFRICA – South Africa based multinational brewing and beverage company, Distell Group has managed strong EBITDA performance and revenue which rose 10.4% to US$1.69bn on 4.6% higher volumes despite a tough economic and competitor environment. EBITDA grew by 20.2% while normalised EBITDA, which excludes the impact of the impairments, the profit on sale of investments, the one-off losses in TDL, retrenchment and group restructuring costs, increased by 6,0%. The global drinks company said it grew its domestic competitive position in all three categories that is, in RTDs (ready-to-drink); Spirits…

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Distell re-lists on JSE, seeks new opportunities in China and Africa

SOUTH AFRICA – Distell, the South African brewer has been re-listed on Johannesburg Stock Exchange and the company is eying growth opportunities in China and the rest of Africa. The planned restructuring of its corporate structure involved suspension of Capevin, which holds a 29% stake in Distell from JSE on May 30 to form a merged company between Distell and Capevin, revealed an earlier announcement by Sens. Business Day has reported that Distell Group minority shareholders are seeking government support for duty-free access to the rapidly growing Chinese wine market.…

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Distell restructuring and merger with Capevin to be completed end-May

SOUTH AFRICA – Distell’s merger with Capevin and planned restructuring of its corporate structure is set to be completed at the end of May, reported BusinessDay citing information from analyst. A Sens announcement issued revealed that Capevin, which holds a 29% stake in Distell, will be suspended from JSE on May 30, and its shareholders will receive about 0.067 shares in newly listed Distell Group Holdings Limited (DGHL) for every one Capevin share held. On the other hand, Distell shareholders will exchange one share for one share in DGHL, which…

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Distell’s restructuring delayed as competition authority demands divestment

SOUTH AFRICA – Distell Group’s planned reorganisation of its control structure is set to delay after the Competition Commission made it clear that the approval was conditional on the Public Investment Corporation (PIC) selling 20% of the 26.8% it acquired in 2016 to a black economic empowerment (BEE) investor. The firm stand by the commission has elicited mixed reactions, Chris Logan of Opportune Investments, a shareholder in Distell slamming the commission for being ‘overzealous’ in enforcing conditions. He said that while the commission has laid down strict conditions on Distell,…

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Distell eyes Africa to double its revenue and profit

SOUTH AFRICA – Liquor giant Distell, controlled by investment group Remgro, is still pursuing an ambitious target of doubling revenue and profit in five years as it targets the African markets. At the release of interim results, Distell CEO Richard Rushton said much of the growth impetus at top and bottom line would come from endeavours in African markets. Rushton was particularly pleased with the showing of Best Global Brands (BGB) which operates in Angola and Nigeria and posted sales volume and profits that were above expectations. Distell last year…

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Campari Group buys premium cognac brand Bisquit from Distell

SOUTH AFRICA – Campari Group has agreed to buy Bisquit Dubouche et Cie (Bisquit) from South Africa’s Distell for € 52.5 million to enhance focus on core portfolio to further growth ambitions. The transaction involved acquisition of all the shares in Bisquit, as well as existing stock, maturing inventory, the trademarks as well as production facilities consisting of warehouses, blending cellars and a bottling plant. “Thanks to the super premium brand Bisquit cognac and its strong heritage, we further enhance our premium brands portfolio, driving a richer product mix,” Campari…

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Revenue growth muted in SA for brewing and beverage group Distell

SOUTH AFRICA – Multinational brewing and beverage group Distell on Friday said during the first three months of the new financial year ending June 2018, it recorded “muted revenue growth”, compared to the corresponding period in the previous year. The company said their South African operations recorded overall revenue growth in an environment of “near stagnant economic growth and intensified competitor activity as consumers seek value offerings”. “We achieved good revenue and volume growth in Zambia and Ghana. “The performance of KWA Holdings EA Limited, of which we acquired the…

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