International law firm McDermott Will & Emery LLP represented Constellation Brands, Inc., the world’s leading premium wine company, in its issuance on May 14, 2013 of $1.05 billion aggregate principal amount of Senior Notes due 2023 and $500 million aggregate principal amount of Senior Notes due 2021 in a public offering under a shelf registration statement filed with the Securities and Exchange Commission.
Constellation intends to use the proceeds from the offering for its pending acquisition of the 50% ownership interest in Crown Imports LLC it does not already own, Grupo Modelo’s Piedras Negras brewery, and an irrevocable, fully-paid license to produce in Mexico and exclusively import, market and sell the Grupo Modelo beer brands currently sold in the U.S. and certain extensions. These acquisitions will position Constellation as the third largest producer and marketer of beer for the U.S. market and the largest multi-category supplier (wine, spirits and beer) of beverage alcohol in the U.S. The Grupo Modelo beer brands imported by Crown include Corona Extra, the best-selling imported beer; Corona Light, the leading imported light beer; and Modelo Especial, one of the fastest growing major imported beer brands.
“We were delighted to have the opportunity to advise our long-time client Constellation Brands on this historic securities offering,” said David Cifrino, McDermott partner and lead on the transaction. “Working with the superb team at Constellation and collaboratively with its other advisers, we were pleased this transaction was successfully completed in a timely and effective manner.”
The McDermott team also included Constellation lead corporate relationship partner Bernard Kramer, partners Dan Zucker, Ray Jacobsen and Heidi Steele and associates Elliott Smith and Zach Swartz.
