Bala Cynwyd, Pa., Feb. 13 - Central European Distribution Corporation today announced that its wholly owned subsidiary, Carey Agri, has placed an order to purchase 2,536,669 shares of Polmos Bialystok S.A. ("Polmos Bialystok") which were tendered in response to its previously announced tender offer for the remaining shares of Polmos Bialystok.
Polmos Bialystok is listed on the Warsaw Stock Exchange. The tender offer was announced on January 16, 2007 and the price at which CEDC is acquiring the shares is PLN 103 (approximately US$ 34.11 per share, based on today's exchange rate of PLN 3.02 for US$1). Following the settlement of today's transaction, the tender is scheduled to close on February 15, 2007. The purchase price for the shares will be financed through borrowings under an existing credit facility.
The additional shares acquired as part of the tender will increase CEDC shareholdings of Polmos Bialystok S.A. from 69% to over 90%. William Carey, CEO stated, "We are pleased with the results of this tender which allows us to move forward with the de-listing of Polmos Bialystok from the Warsaw Stock Exchange. As CEDC is already listed on the Warsaw Stock Exchange, in addition to the Nasdaq Global Select Market, we do not feel it is necessary to have our daughter company listed as well."