Diageo plc today announces that it has reached an agreement to acquire Ursus Vodka Holding N.V., the owner of the Ursus vodka and Ursus Roter brands. The agreement is conditional on anti-trust clearances including clearance in Greece, the largest volume market for the Ursus vodka and Ursus Roter brands.
Diageo’s total cash investment will be approximately €145 million in respect of the acquisition of the brands and the termination of certain existing production and distribution agreements related to the acquired brands. The acquisition is expected to deliver a return in excess of Diageo’s weighted average cost of capital of 9% for investment projects in the first full year of ownership.
Commenting on the acquisition, Andrew Morgan President Diageo Europe said, 'The acquisition of the Ursus vodka and Ursus Roter brands adds in excess of 400k cases to our business in Europe and we expect it to enhance the growth profile of Diageo’s business in Greece. Additionally, Ursus Roter as a mid proof flavoured spirit offers opportunities for growth in the rest of Europe.'