The deal is expected to complete in 2014s second quarter

The deal is expected to complete in 2014's second quarter

The biggest proposed deal in the spirits industry in five years was annnounced yesterday (13 January) with Suntory agreeing to acquire Beam Inc for US$16bn

Here, just-drinks looks at the companies in more detail and the facts and figures behind the deal: 

Beam Inc 

The Deerfield, Illinois headquarted group's spirits portfolio includes:

Bourbons: Jim Beam, Maker's Mark, Knob Creek.

Scotch whisky: Teacher's, Laphroaig

Irish whiskey: Kilbeggan

Other whisk(e)y: Canadian Club whisky 

The group has a 19.5% global share of US whiskey sales, according to 2012 Euromonitor figures. It has a 5% share of all whiske(e)y sales globally. 

Cognac:  Courvoisier 

Tequila: Sauza 

Vodka: Pinnacle 


The Osaka, Japan-headquartered group's spirits portfolio includes: 

Japanese whiskies: Yamazakai, Hakushu, Hibiki and Kakubin 

Scotch whisky: Bowmore 

Liqueurs: Midori 

The group also has significant brewing operations and is Japan's biggest soft drinks producer by sales. It also operates in the wine and RTD categories. 

The deal 

Suntory will pay US$83.50 per share. Shares in Beam rose 24% on Wall Street yesterday, close to the offer price. 

The $16bn price tag is 20 times Beam's EBITDA in its most recent results. 

The deal is expected to close in the second quarter of 2014, subject to Beam stockholders’ approval, regulatory approvals and other customary closing conditions. 

Beam is currently the fifth largest spirits group by sales globally. The deal will see the combined entity leapfrog Brown-Forman and Bacardi, taking it into third spot behind Diageo and Pernod Ricard

Suntory has a global workforce of around 28,000, while Beam has 3,400 employees.

Beam's management will be retained and remain in Illinois.