FAIRPORT, N.Y., Feb. 14 /PRNewswire/ -- Constellation Brands, Inc. (NYSE: STZ and STZ.B) today announced that it intends to make a public offering of 1,700,000 shares of its Class A Common Stock. Constellation expects to use the net proceeds from the offering to finance a portion of the recently announced acquisition of the Turner Road Vintners wine business or to repay short-term indebtedness incurred to finance the acquisition. If the acquisition of the Turner Road business is not consummated, Constellation will use the net proceeds from the offering to repay outstanding indebtedness.
Constellation also announced today that it has received notification that the waiting period under the Hart-Scott-Rodino Antitrust Improvements Act has been terminated relative to its acquisition of the Turner Road business. Constellation continues to move forward with this acquisition, which includes the Vendange, Talus, Heritage, Nathanson Creek, La Terre and Farallon wine brands. The acquisition, which is subject to customary closing conditions, is expected to close in early March 2001.
A registration statement relating to the Class A Common Stock has been declared effective by the Securities and Exchange Commission. This press release shall not constitute an offer to sell or a solicitation of an offer to buy, nor shall there be any sale of these securities in any state, in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state. Copies of the registration statement may be obtained electronically at http://www.sec.gov.
In connection with the offering, Salomon Smith Barney Inc. is acting as the sole book-running manager and a joint lead manager, J.P. Morgan Securities Inc. is acting as a joint lead manager, and Merrill Lynch, Pierce, Fenner & Smith Incorporated and UBS Warburg LLC are acting as co-managers.
Constellation Brands, Inc. is a leader in the production and marketing of branded beverage alcohol products in North America and the United Kingdom and is a leading drinks wholesaler in the United Kingdom. As the second largest supplier of wine, the second largest importer of beer and the fourth largest supplier of distilled spirits, Constellation Brands, Inc., is the largest single-source supplier of these products in the United States. With its broad product portfolio, composed of brands in all major beverage alcohol categories, Constellation is distinctly positioned to satisfy an array of consumer preferences. Leading brands in Constellation's portfolio include: Franciscan Oakville Estate, Simi, Estancia, Almaden, Arbor Mist, Black Velvet, Fleischmann's, Schenley, Ten High, Stowells of Chelsea, Blackthorn and the number one imported beer, Corona Extra.
Constellation makes forward-looking statements from time to time and desires to take advantage of the "safe harbor" which is afforded such statements under the Private Securities Litigation Reform Act of 1995. The statements set forth in this press release, which are not historical facts, are forward-looking statements that involve risks and uncertainties that could cause actual results to differ materially from those set forth in the forward-looking statements. There can be no assurance that any forward-looking statement in this press release will be realized or that actual results will not be significantly higher or lower than set forth in or implied by such forward-looking statement. For risk factors associated with Constellation and its business, please refer to our Securities and Exchange Commission filings. SOURCE Constellation Brands, Inc.
CONTACT: Mark Maring, V.P. - Investor Relations of Constellation Brands,