New York, NY (November 8, 2010) -- KPS Capital Partners, LP ("KPS") announced today that its portfolio company North American Breweries, Inc. (“NAB”) has completed a successful recapitalization. NAB raised $145 million of new financing, including a $25 million revolving credit facility and a $120 million term loan. The proceeds of the recapitalization were used to refinance outstanding debt, to fund a $78 million cash distribution to stockholders and to fund the Company’s continued growth.
Following the recapitalization, NAB remains conservatively capitalized and has the continued support of KPS, its majority shareholder. KPS and NAB management continue to own 100% of NAB’s common stock.
Financing for the transaction was provided by a syndicate of banks with RBS Citizens N.A. acting as sole lead arranger and joint book runner, along with JP Morgan Chase Bank N.A. acting as joint book runner.
Jenner & Block LLP served as legal counsel to NAB with respect to the recapitalization.
About North American Breweries, Inc.
Headquartered in Rochester, New York, North American Breweries, Inc. is a national platform for investments and growth in the beer and malt beverage industries. Formed in 2009, North American Breweries is one of the largest independently owned beer companies in the United States. NAB manufactures, imports, markets and sells its branded product portfolio through an independent network of wholesalers throughout the U.S. NAB’s portfolio of brands includes: the Labatt brands; the Genesee brands; the Original Honey Brown Lager and Dundee Ales & Lagers; Seagram’s Escapes; Magic Hat; Pyramid; and MacTarnahan’s. NAB also performs contract brewing of beer and other alcoholic and non-alcoholic beverages on behalf of other companies. Additionally, NAB is the U.S. distributor of Imperial from Costa Rica. NAB operates four breweries across the United States, including its flagship brewery, the Genesee Brewery, in Rochester, NY, which is one of the largest and longest continually-operating breweries in the United States.
For more information about North American Breweries, please visit www.nabreweries.com.
About KPS Capital Partners
KPS, through its affiliated management entities, is the manager of the KPS Special Situations Funds, a family of investment funds with approximately $21.8 billion of assets under management (as of June 30, 2024). For over three decades, the Partners of KPS have worked exclusively to realize significant capital appreciation by making controlling equity investments in manufacturing and industrial companies across a diverse array of industries, including basic materials, branded consumer, healthcare and luxury products, automotive parts, capital equipment and general manufacturing. KPS creates value for its investors by working constructively with talented management teams to make businesses better, and generates investment returns by structurally improving the strategic position, competitiveness and profitability of its portfolio companies, rather than primarily relying on financial leverage. The KPS Funds’ portfolio companies generate aggregate annual revenues of approximately $21.6 billion, operate 245 manufacturing facilities in 26 countries, and have approximately 64,000 employees, directly and through joint ventures worldwide (as of June 30, 2024, pro forma for the recent acquisitions of Sport Group and Innomotics which closed on July 8, 2024 and October 1, 2024, respectively). The KPS investment strategy and portfolio companies are described in detail at www.kpsfund.com.
