Competition Authority approves CC's purchase of M&J Gleeson

The Competition Authority has cleared C&C’s acquisition of M&J Gleeson, the drinks company owned by businessman Pat Cooney. The deal was announced last November and was expected to net €12.4 million in cash for Mr Cooney and his family.

The Gleeson Group is a leading drinks manufacturer and wholesaler, with a strong presence in the supply of packaged long alcohol drinks to the licensed on-trade in Ireland. C&C specialises in branded cider and beer.

C&C was due to pay €8 million in cash up front, with €4.4 million deferred for one year. It is also taking on debts of €45.6 million, implying an enterprise value of €58 million for the transaction.

“The association is good,” Mr Cooney said when the transaction was agreed.

M&J Gleeson was C&C’s second major acquisition in two months at the end of last year. It also took over Vermont Hard Cider in the US, paying $305 million.

Shares in C&C closed at €4.779 last night, just a shade weaker on the day.