East Capital Explorer AB has accepted PepsiCo’s buyout offer to purchase its holding in Wimm-Bill-Dann Foods OJSC, a leading Russian dairy and juice company. East Capital Explorer realised an annualised pre-tax return of 17.4% on its initial EUR 6.8m investment (39.7% pre-tax IRR when measured in the transaction currency USD).
Gert Tiivas, CEO East Capital Explorer, says: "We are pleased that our investment manager successfully executed this short-term investment opportunity in Wimm-Bill-Dann as means to maximize returns utilising cash awaiting deployment into other investments."
The buyout offer by PepsiCo was required in accordance with Russian law after it received approval to acquire 66% of Wimm-Bill-Dann for a price USD 132 per common share. After the buyout, East Capital Explorer received EUR 7.4m which is available for future investments.
