Central European Distribution's No. 2 shareholder welcomes news that top shareholder Russian Standard wants to boost its stake in company
December 9, 2011
– Central European Distribution Corp's (CEDC) No. 2 shareholder welcomed the news that top shareholder Russian Standard wanted to boost its stake in the company, Reuters reported Dec. 9.
Russian Standard currently holds a 9.9% stake and the company and has proposed to buy another 19.9%, as well as offer to help the company restructure its debt.
Mark Kaufman — who owns a 9.6 percent stake in CEDC — said a combination between the two companies makes sense. However, he urged CEDC to avoid taking action that may "not be prudent.”
In November, CEDC slashed its full-year outlook for the second time and a failure to outline plans to pay back debt led to a sell-off in the company's stock.
The primary source of this article is Reuters, London, England, on Dec. 9, 2011.