Blog: William Grant & Sons makes fast work of Campari deal
Chris Mercer | 21 September 2010
William Grant & Sons says that it always planned to develop the liqueur brands it acquired from C&C Group alongside Tullamore Dew whiskey, but that the offer from Campari was too good. Do we believe this?
No sooner had the ink dried on William Grant's deal with C&C Group and Frangelico, Carolans and Irish Mist liqueurs were being farmed out to a new home in northern Italy for EUR129m (US$167.6m).
William Grant has been left with Tullamore Dew Irish whiskey, the brand that it arguably wanted all along. Both William Grant and Campari said that they got a good price in the subsequent liqueurs deal. William Grant's CEO, Stella David, also stressed that her firm did not go looking for a sale.
Something doesn't add up here.
Campari CEO Bob Kunze-Concewitz said of the deal: "The price of 7.5 times EBITDA is attractive. When you consider in our industry that the average of all the deals that have happened since 2004 has been 17 times - clearly it's a good deal."
William Grant, on the other hand, said that Campari offered it a "very attractive price" for the brands. If that's true, then William Grant can't have thought much of Frangelico and co in the first place, can it?
Forget gluten-free. Fodmaps are the latest food trend, and if you work in the soft drinks industry it is important to know where you stand with them....
Companies are very protective of their brand image. So it is refreshing to hear Diageo's Garbhan O’Bric, the global brand director for Baileys, speak the unvarnished truth when talking about the lique...
Alcohol companies love a good movie tie-in. A brush with Hollywood glamour seems to give marketers the warm and fuzzies, judging by the number of deals done over the past few years. The new James Bond...
just-drinks is in Cannes this week at the Tax Free World Association show. Here's the second part of Andy Morton's blog, which will keep you up-to-date at one of the most important dates in the Trave...
- Whatever happened to binge Britain? - comment
- How to turn a domestic spirit into a global brand
- The dangers of squaring up to your competitor
- The US beer market - A level playing field for all
- Remy Cointreau's Q2 and H1 - preview
- Sidney Frank CEO to head Clooney's import co
- Diageo sells off United Spirits' Bouvet Ladubay
- Captain Morgan distillation trial queried by USVI
- Irish whiskey brands could fail without bulk
- Sazerac sues Brown-Forman over Tennessee Fire
- Global Beer Trends 2015 : Global Beer Trends and Long-term Forecasts
- Global sparkling wine insights - market forecasts, product innovation and consumer trends research
- Future growth opportunities for global spirits
- Global Scotch whisky insights - market forecasts, product innovation and consumer trends research
- Global Wine Market to 2019 - Market Size, Development, and Forecasts