C&C in US cider deal as sales dry up
Shares in the company that makes Bulmers and Magners ciders have surged after it announced plans to buy a US drinks maker.
The rally was prompted by the announcement of the $305m (£191m) purchase of Vermont Hard Cider Company.
"C-amp;C is delighted to announce its agreement to acquire the Vermont Hard Cider Company," Stephen Glancey, CEO of C-amp;C Group, said. "This transaction transforms our international cider business and accelerates our growth prospects. We intend to invest in the company to capitalise on the growth opportunities presented by this business."
C-amp;C shares were up 8.9% on the news, valuing C-amp;C at €1.4bn (£1.1bn).
Vermont Hard Cider Company makes fast growing American cider brand Woodchuck.
C-amp;C is looking at the US market to make up for tough trading closer to home. It comes after C-amp;C said that profits will be "at the lower end" of a forecast range, blaming an unusually wet summer for weak sales.