Pernod Ricard has announced the sale of its international wine brands portfolio to Australian Wine Holdco Limited (AWH), a consortium of international institutional investors and the owner of Accolade Wines.
The portfolio includes renowned brands such as Jacob’s Creek, Orlando, and St Hugo from Australia; Stoneleigh, Brancott Estate, and Church Road from New Zealand; and Campo Viejo, Ysios, Tarsus, and Azpilicueta from Spain. Collectively, these brands produce over 10 million 9-liter cases annually.
In a statement, Pernod Ricard emphasized that this divestment aligns with its strategy to focus on premium international spirits and champagne brands, which are key drivers of its growth. The company highlighted that this move is part of its ongoing strategic review aimed at delivering sustainable value to its shareholders, employees, clients, and partners.
AWH, on the other hand, plans to leverage this acquisition to create a more efficient and diversified global wine business by integrating Accolade Wines with the newly acquired Pernod Ricard wine assets. This combined entity will offer a robust portfolio of old and new world wines, with operations spanning every continent, thereby enhancing its ability to navigate the challenges of the wine industry and secure a more sustainable financial future.
Joshua Hartz, an AWH spokesperson, expressed optimism about the merger, stating, “Both Accolade Wines and Pernod Ricard have a long, proud history as world-class wine producers. Combining Accolade Wines with the Pernod Ricard assets will create a more certain and financially sustainable future for the business, allowing us to better serve our customers in more segments and more geographies.”
He further added that the backing from AWH would enable the combined business to better adapt to changing consumer preferences and address the structural challenges facing the global wine industry.
The transaction, which remains confidential in terms of its price, is subject to regulatory approvals. AWH has committed to working with relevant regulators to facilitate the merger and ensure a seamless integration of the businesses if the transaction is approved.
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