Norway's Arcus Q3 alcohol sales jump as virus-led travel curbs boost demand
06/11/2020 06:28
OSLO, Nov 6 (Reuters) - Norwegian alcohol maker Arcus ASA
ARCUS.OL posted a 26% rise in third-quarter revenue on Friday,
as COVID-19-induced travel curbs prevented consumers from buying
cheaper wine and liquor abroad and boosted demand.
The July-September revenue for Arcus, which has agreed to
merge with Finland's Altia ALTIA.HE , rose to 817.6 million
crowns ($88.5 million) from 650.8 million crowns a year ago, it
said in a statement.
Adjusted earnings before interest, tax, depreciation and
amortisation (EBITDA) rose 58% to 152.4 million crowns.
Seeking to limit the spread of coronavirus, Norway has
discouraged foreign travel, thus limiting the access to alcohol
from duty-free stores and other low-cost sources.
urn:newsml:reuters.com:*:nL8N2DK06R urn:newsml:reuters.com:*:nL8N2FE43D urn:newsml:reuters.com:*:nL5N2GI3HC urn:newsml:reuters.com:*:nL8N2HR3GT
In September, Finnish alcoholic drinks maker and distributor
Altia agreed to buy Arcus in an all-share deal, with the
combined group to be renamed Anora. urn:newsml:reuters.com:*:nL8N2GQ11D
Subject to regulatory approvals of the deal, Norwegian
billionaire Stein Erik Hagen's Canica investment company is set
to become the biggest shareholder with a stake of 22.4%, while
the Finnish government will hold 19.4% of the combined firm.
"Completion of the merger is expected to take place in the
first half of 2021," Arcus said in its earnings report.
($1 = 9.2341 Norwegian crowns)
(Reporting by Terje Solsvik; Editing by Rashmi Aich)
((terje.solsvik@thomsonreuters.com; +47 918 666 70))