UK: South Africa's Omnia and Ehrmanns form joint venture
South African wine producer Omnia is to team up with distributor Ehrmanns in a joint venture for the UK market.
The alliance, which comes into effect on 3 April, follows a strategic review of Omnia's international operations and its renaming as The Company of Wine People from 1 April.
Named The Company of Wine People Europe Limited, the UK venture will distribute the Arniston Bay and Thandi brands, also handling the impending launch of the Kumkani brand into the on-trade and independent sector.
Omnia CEO Hermann Böhmer said the deal reflected increasing customer consolidation in the UK and the wish of larger clients to deal with fewer suppliers.
Ehrmanns commercial director Nick Day said a brand like Arniston Bay "could only benefit" from being part of a larger portfolio.
Having over-zealously planted red grape varieties over the past ten years, South Africa now finds itself with a glut of red wine, writes Richard Woodard. Meanwhile, there is insufficient capacity to m...
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