US: Constellation Brands' Tequila target must be under $100m
Constellation is on the look-out for a Tequila brand
Constellation Brands would not be prepared to pay more than US$100m in acquiring a “heritage” Tequila brand, the group’s CFO has reportedly told an analyst.
In a note today (28 October), Stifel’s Mark Swartzberg said in a meeting the firm’s CFO Bob Ryder had expressed an “interest in a bolt-on Tequila acquisition”. Constellation is apparently motivated by the idea that Corona and a shot of Tequila are complimentary.
The move could also be an “antidote to the years of lost-to-Tequila Corona sales cited by Crown CEO Bill Hackett”, the note said.
Swartzberg told just-drinks: “I’m not sure whether they (Constellation) have a brand in mind, but they’re clear about size being no more than $100m.”
In June, Constellation’s CEO Rob Sands told the Wall Street Journal that the firm was looking at buying a Tequila brand to sit alongside its line-up of beers. The wine and spirits group took full control of Crown Imports, which handles Grupo Modelo's beers in the US, earlier this year in the wake of Anheuser Busch InBev's buy-out of the Mexican brewer.
At ProWein 2014, Andy Morton sat down with Constellation's international general manager Philip Kingston to talk about its expanding global ambitions including a new tie-up in China for its Robert Mon...
Global Wine industry profile provides top-line qualitative and quantitative summary information including: market share, market size (value and volume 2008-12, and forecast to 2017). The profile also ...
The company faced a period of uncertainty at the end of 2012 regarding its future in the midst of A-B InBev and Constellation Brands’ merger discussions. Eventually, in February 2013, all parties reac...
Alcoholic beverages are drinks that contain ethanol and are generally categorized into three types: beer, spirits (distilled beverages), and wine. Beer is an alcoholic beverage manufactured by the hyd...
Formed as a result of Constellation Brands’ divestment of its European and Australian operations in 2011, Accolade Wines is the world’s sixth largest wine producer. This profile analyses the company’s...
- Is Diageo on the Brink of a Brain Drain?
- SABMiller edges Diageo as beer trumps spirits
- Focus - SABMiller's FY Sales Performance by Region
- Will Keurig Kold come to Coca-Cola Co's Rescue?
- Comment - Heineken's move for Pivovarna Lasko
- Rémy Cointreau eyes recovery after Q4 bounceback
- Carlsberg exec joins Diageo as Africa chief steps
- Diageo YTD sales come in flat
- Belvedere unveils executive team
- Stock Spirits recruits Drambuie head for MD role