Company: PRMB
Filing Date: 2025-01-24
Form Type: S-1
Source: 0001193125-25-012325
Chunk: 122

Company: Primo Brands Corp
Filing Date: 2025-01-24
Form: S-1
Chunk 122
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 discussion may contain forward-lookingstatements based upon management’s current plans, expectations, and beliefs involving risks and uncertainties. Primo Water’s actual results may differ materially from those anticipated in these forward-lookingstatements as a result of various known and unknown factors, including those set forth under “Risk Factors” and “Forward-LookingStatements” of this prospectus.

Overview

Primo Water’s water solutions expand consumer access to purified, spring, and mineral water to promote a healthier, more sustainable
lifestyle while simultaneously reducing plastic waste and pollution. Primo Water is committed to its water stewardship standards and is proud to partner with the International Bottled Water Association in North America, which ensures strict
adherence to safety, quality, sanitation, and regulatory standards for the benefit of consumer protection.

Ingredient and packaging costs
represent a significant portion of Primo Water’s cost of sales. These costs are subject to global and regional commodity price trends. Primo Water’s most significant commodities are PET resin, HDPE and polycarbonate bottles, caps and
preforms, labels, and cartons and trays. Primo Water attempts to manage its exposure to fluctuations in ingredient and packaging costs by entering into fixed price commitments for a portion of its ingredient and packaging requirements and
implementing price increases as needed.

In 2023, Primo Water’s capital expenditures were devoted primarily to supporting growth in
its business, maintaining existing facilities, and making equipment upgrades.

International Business Sales

On November 2, 2023, Primo Water entered into a Share Purchase Agreement (the “Purchase Agreement”) with a subsidiary of the
Culligan Group providing for the sale of Carbon Luxembourg S.à.r.l. and certain of its subsidiaries (the “European Business”). On December 29, 2023, Primo Water completed the sale of the European Business for aggregate deal
consideration of $575.0 million, adjusted for customary purchase price adjustments, resulting in total cash consideration of $565.9 million (the “European Divestiture”). The European Divestiture did not include Primo Water’s
interest in Aimia Foods Limited (“Aimia”), Decantae Mineral Water Limited (“Decantae”), Fonthill Waters Ltd (“Fonthill”), John Farrer & Company Limited (“Farrers”), and the portions of the Eden
Springs Netherlands B.V. business located in the United Kingdom, Israel, and Portugal (collectively the “Other International Businesses”). On June 7, 2024, Primo Water