Bacardi Limited, the largest privately held spirits company in the world, announced today a definitive agreement to acquire 100% ownership of Patrón Spirits International AG and its Patrón brand of tequila.
The transaction, which is subject to customary closing conditions, follows the relationship the companies have had for nearly a decade since Bacardi’s initial acquisition of a minority stake in Patrón in 2008. This new transaction reflects an enterprise value for Patrón of U.S. $5.1 billion and is expected to close in the first half of 2018.
According to the most recent IWSR data, this transaction will make Bacardi the number one spirits player in the super-premium segment in the U.S. and the second largest spirits company in market share by value in the U.S. market.
Tequila is one of the fastest-growing and most attractive categories in the spirits industry, with Patrón being the market leader in the super-premium segment. Super-premium brands continue to experience fast growth — and the trend is expected to continue.
The Patrón leadership team, including Chief Executive Officer Edward Brown, Chief Operating Officer David R. Wilson, and Chief Marketing Officer Lee Applbaum, will continue in their roles.
Following the closing of the deal, John Paul DeJoria, co-founder of Patrón tequila, will serve as an ambassador for Patrón in the role of Chairman Emeritus and intends to work with Bacardi in further advancing their philanthropic and environmental projects.The post Bacardi To Acquire Patrón Tequila first appeared on Beverage Dynamics.