Australian Wine Holdings Ltd is intending to acquire the premium Margaret River winemaker Hay Shed Hill, AWL executive chairman Mike Calneggia said today.

Claneggia said the proposed $A6 million ($US3.18 million) acquisition was a significant milestone in the development of the company as a premium West Australian wine producer and that AWL intended to take the Hay Shed Hill brands to a wider global market.

In May AWL acquired WA winemaker Chestnut Grove Wines in deal worth around $A3 million ($US1.59 million) with a minimum cash payment of $A1.6 million ($US847,360) and the balance through the issue of shares in AWL.

"We intend to develop Hay Shed Hill into one of Margaret River's finest, internationally recognised quality wine producers," Calneggia said.