Clearly Canadian backs away from acquisitions
September 18, 2008
by Keith Nunes
TORONTO — Clearly Canadian Brands will "hold off" on new acquisitions for the balance of 2008, including its previously proposed acquisitions of Baldwin Street Kosher, a meat processor, and Crofters Foods Ltd., an organic jam company.
"We are very focused on the success of all our current divisions," said Bobby Genovese, chief executive officer. "Our healthy snack divisions and our organic baby food divisions are growing and we are incredibly excited about the launch of the new Clearly Canadian sparkling flavored waters. We expect to gain significant market share over the next few years, and feel our resources are currently better used toward the expansion of this now very profitable product line.
"Through the building of our existing businesses and the move to profitability, we feel we will then be in a superior position as market and credit conditions improve to bring new acquisitions into our fold."
On Aug. 27, Clearly Canadian Brands signed an agreement with Cott Corp. in which Cott will bottle Clearly Canadian beverages at some of its facilities in North America. The agreement with Cott is expected to help Clearly Canadian’s sparkling bottled water line gain market share.