GLOBAL: Pernod Ricard agrees Maxxium exit, partners re-jig venture

Most popular

What's coming up in dark spirits in 2020?

What's coming up in soft drinks in 2020?

What will shape consumer trends in 2020?

Will 2020 see Campari Group back on the M&A hunt?

just-drinks speaks to DISCUS CEO Chris Swonger


Pernod Ricard is to take its newly-acquired Vin & Sprit brands, including Absolut vodka, out of the Maxxium Worldwide network next month, prompting a global re-organisation of the distribution venture.

Pernod will exit the venture from 1 October, Maxxium announced today (3 September). The deal follows the French giant's acquisition of Maxxium partner Vin & Sprit earlier this year.

Another partner, Remy Cointreau, said separately today that it had completed a severance deal to exit Maxxium at the end of March next year.

Both announcements were followed by news that Maxxium would be taken into a new distribution "alliance" between the venture's remaining two partners, The Edrington Group and Beam Global Spirits & Wine.

Pernod said it had agreed to pay EUR59m (US$85m) to take V&S brands, including Absolut, out of Maxxium from October. Remy said it had agreed to pay compensation of EUR224m. Both firms will also pay EUR60m each to Maxxium at the end of March next year.

From 1 April, Edrington and Beam will begin their new partnership. The two said they had agreed to take joint ownership of Maxxium businesses in ten markets, including UK, Russia, China and Spain.

Beam will then handle distribution for both firms in eight markets, including Australia, New Zealand, Germany and Canada, while Edrington will be responsible for Scandinavian markets, as well as Taiwan and Korea.

Covering 24 markets in all, the alliance will have combined annual sales of more than EUR750m, via brands such as Jim Beam and Maker's Mark, and Scotch whiskies The Famous Grouse and The Macallan, Maxxium Worldwide said.

Beam vice president Donard Gaynor and Edrington sales and marketing director Bill Farrar, both co-chairmen of the Maxxium executive committee, said: "In a consolidating drinks market, it is beneficial that we find innovative, cost-efficient routes-to-market and this alliance offers significant operational and market advantages."

It remained unclear whether job losses would be a consequence of the new alliance. Beam said: "Beam Global, Edrington and Maxxium are engaging in active information/consultation with Maxxium employees and their representatives where necessary as Pernod Ricard and Rémy-Cointreau exit from the sales and distribution joint venture."

Related Content

"In the future, all of our products should be in paper packaging" - Louise Werner, director of futur...

"Africa is Asia in 15 to 20 years from today" - just-drinks speaks to Pernod Ricard CEO Alex Ricard...

Pernod Ricard lays out 2030 plan to cut emmissions, reduce water footprint

Pernod Ricard lays out 2030 plan to cut emmissions, reduce water footprint...

Pernod Ricard reaps reward of China, India return - Analysis

Pernod Ricard reaps reward of China, India return - Analysis...

Oops! This article is copy protected.

Why can’t I copy the text on this page?

The ability to copy articles is specially reserved for people who are part of a group membership.

How do I become a group member?

To find out how you and your team can copy and share articles and save money as part of a group membership call Sean Clinton on
+44 (0)1527 573 736 or complete this form..

Forgot your password?