WATERLOO, ON, May 14 /CNW/ - Brick Brewing Co. Limited (TSX: BRB) today announced that it has commenced a review of strategic alternatives available to the Company to enhance shareholder value, including, but not limited to, offers to acquire shares or assets of Brick Brewing Co. Limited, a recapitalization review or some form of business combination. The Company has retained CIBC World Markets to assist in the review.
There can be no assurance that the review will result in any specific strategic or financial transaction being completed and no timetable has been set for the completion of the review.
"Brick Brewing has attained numerous strategic goals over the past several years, creating a solid platform for future growth. We have aggressively grown our market share in the value beer category with our Laker brands, revitalized our core brands and premium beer portfolio, strengthened our selling and marketing capabilities through new partner relationships and improved selling programs, and have successfully executed a costly and complicated manufacturing strategy which will allow us to continue to profitably support this growth," said Doug Berchtold, President and CEO. "These accomplishments position us well for the future."
"Brick Brewing is at an exciting and important crossroad," said Jim Brickman, Executive Chairman and Founder. "It is opportune at this time to evaluate each of the alternatives available to us to best capitalize on our future growth opportunities. To this end, the Board of Directors has determined it is appropriate to undertake a comprehensive review of all of our strategic and financial options to determine the best method to maximize shareholder value."
Brick Brewing Co. Limited is a regional brewer of award-winning premium quality beers. The Company, founded by Jim Brickman in 1984, was the first craft brewery to start up in Ontario, and is credited with pioneering the present day craft brewing renaissance in Canada. Brick has complemented its premium craft beers with other popular brands such as Laker, Red Cap and Formosa Springs Draft. Brick trades on the TSX under the symbol BRB. Visit us at www.brickbeer.com.
All statements in this press release that do not directly and exclusively relate to historical facts constitute forward-looking statements as of the date of this press release. These forward-looking statements include the statements concerning the Company's intention to review strategic alternatives, manufacturing, distribution and other capacity improvements, product demand, sales, reduced variable costs and margin improvements. These forward-looking statements are not guarantees and are based on management's expectations that improved operating efficiencies will be realized from the additional production and distribution capacity and that product demand will continue to grow. Although the Company believes these forward-looking statements are based on information and assumptions which are reasonable, there are a number of factors which could cause actual results to vary materially from current expectations, including production delays, additional start-up costs, operational issues or reduced product demand. An additional factor to consider is that there can be no assurance that a review of strategic alternatives will result in any type of transaction. The forward-looking statements included in this press release are made only at the date of this press release and the Company does not undertake to publicly update these forward-looking statements to reflect new information, future events or otherwise.