Westrock Coffee Company Announces Completion of S&D Coffee & Tea Purchase
Little Rock, AR, – February 28, 2020 – Westrock Coffee Company, LLC today completed its previously announced [https://westrockcoffee.com/blogs/news/westrock-to-acquire-s-d-coffee-tea] agreement to acquire S&D Coffee & Tea® from Cott Corporation (NYSE: COT; TSB: BCB). The transaction, valued at $405 million, creates the nation’s leading integrated coffee, tea, and extract company serving retailers, restaurants, convenience stores, commercial accounts, and the hospitality industry.
The newly combined business, Westrock Coffee Company, LLC, operates several US and international subsidiaries. The US-based service providers include Westrock Coffee Roasting in North Little Rock, AR, which supplies branded and private label coffee to global retailers and hotel chains, and S&D Coffee & Tea, in Concord, NC, which is the US market leader in custom coffee roasting and service, tea blends, and extracts. These operating subsidiaries will continue to serve customers under their respective brand names for the foreseeable future and will remain located in their current facilities.
“We are very pleased to complete the transaction on schedule, and our integration process is under way,” said Scott Ford, Westrock Coffee Company co-founder and chief executive officer. “We are focused on creating innovative, quality products for our customers while continuing our combined commitment to delivering superior customer service across the entire supply chain – from crop to cup.”
Westrock Coffee can import, process, roast, grind, and package more than 220 million pounds of coffee annually. The company employs more than 1,700 people globally and is a recognized pioneer in farmer sustainability practices and supply chain traceability.
As CEO, Ford leads the company’s management team, with support from former S&D President and CEO Ron Hinson, now serving as chairman emeritus. Hinson, a 41-year coffee industry veteran, will serve in an advisory role on industry issues, customer support, and product development.
“Our foundation is and will remain coffee, but we intend to continue to lead as the industry morphs beyond traditional hot coffee into cold brews, custom blends, and other extract-based options which appeal to a variety of beverage consumers at home, in restaurants, and across the hospitality industry,” Ford explained. “It’s an exciting time to be part of Westrock Coffee – we are building an even stronger and larger organization, one that is capable of having a meaningful impact on and in the lives of literally, millions of farmers around the world and where there will be a number of opportunities for job and career growth here in the US.”
BBH Capital Partners, a private equity strategy of Brown Brothers Harriman & Co., The Stephens Group, and Meaningful Partners provided acquisition capital, along with Westrock Coffee’s existing investors. Wachtell, Lipton, Rosen & Katz served as legal advisor to Westrock Coffee.
About Westrock Coffee Company
Westrock Coffee Company, LLC is the leading integrated coffee, tea, and extract service provider in the US, providing coffee sourcing and financing, supply chain management, roasting, packaging, and distribution services to retailers, restaurants, convenience stores, commercial accounts, and hospitality customers around the world. With offices in ten countries, the company sources coffee from 25 origin countries and provides service under both the Westrock Coffee and S&D Coffee & Tea brands.