Diageo’s wine business in the UK, Percy Fox, has set up an on-trade distribution agreement with Matthew Clark in the country.

The unit confirmed late last week that the tie-up, which takes effect from today (10 May), will see Matthew Clark handle wine brands including Blossom Hill, Arniston Bay and Heidsick & Co. Monopole Champagne.

When contacted by just-drinks, a spokesperson for Percy Fox said that the decision to partner with Matthew Clark was “a combination of increased efficiency and capitalising on strengths of both businesses in order to drive growth in the on-trade sector for Percy Fox brands”.

“We are committed to helping to grow the wine category in the on-trade and are convinced our brands have a major role to play,” said Percy Fox’s general manager, Simon Lawson. “We believe this partnership will further strengthen that commitment and we are delighted to be working with the Matthew Clark team.”

Percy Fox will continue to deal directly with a number of on-trade businesses, including M&B, Whitbread and Greene King.

Back in 2007, Constellation Brands’ sold half of the Matthew Clark business to Punch Taverns for GBP85m (US$168m).

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