PARIS, Nov. 12, 2002 (PRIMEZONE) -- Groupe DANONE (NYSE:DA) has entered into a definitive agreement to acquire Sparkling Spring Water Holdings, a Canadian business, which has activities in North America and Europe.
Founded in 1992 in Halifax, in the Province of Nova Scotia (Canada), the Sparkling Spring Group has developed leading positions in Canada (number 2), in the United Kingdom (number 3), in the USA (number 1 in the Pacific North-West) and has recently established a position in the Netherlands (number 3).
The business has annual revenues in excess of Euro 100 million and owns 210,000 water coolers. The Sparkling Spring Group is among the five largest HOD ("5-Gallon Water Market") players in the world and is one of the most profitable businesses in the HOD market.
In Canada, where Groupe DANONE was already number 1, with a strong presence in Ontario and Quebec, the acquisition of Sparkling Spring completes the geographical coverage of the Groupe with number 1 positions in the Maritime provinces (Atlantic coast), in Alberta (Rocky Mountains) and in British Columbia (Pacific coast).
In the USA, Groupe DANONE becomes number 1 in the Pacific North-West region, reinforces its existing presence in Washington State and enters the State of Oregon.
In the United Kingdom, Groupe DANONE recently entered the HOD marketplace with the pending acquisition of Chateaud'eau. With this transaction, the Group doubles its position and offers a national coverage to customers, also becoming number 1 operator in Scotland.
The acquisition of Sparkling Spring also gives Groupe DANONE an entry to the Dutch market with the number 3 position, through two companies based in Eindhoven and Rotterdam.
As a result of this transaction, plus the recent acquisition of Patrimoine des Eaux du Quebec in Canada and the pending acquisition of Chateaud'eau International in Europe, Groupe DANONE consolidates its position as number 1 HOD operator in the world. Groupe DANONE has leading positions in North & South America (number 1 in Canada, number 3 in the USA, number 2 in Mexico, number 1 in Argentina), in Europe (number 3) and in Asia (number 1).
Completion of this transaction is subject to receipt of customary regulatory clearances.