US-based Crimson Wine Group has acquired the Raeburn wine brand from Californian wine-and-spirits business Purple Brands.
The financial terms of the deal were not disclosed.
In a statement yesterday (9 February), Crimson, which holds wine assets in California, Oregon and Washington state, said the purchase will give it “greater scale”.
Jennifer Locke, Crimson's CEO, added: "The Raeburn portfolio, rooted in Sonoma County, will significantly increase our market presence and relevance with our retail and on-premise customers through a portfolio of varietals selling in the $15 to $25 retail price points.
“Raeburn is led by one of the top ten largest Chardonnay brands sold domestically, providing Crimson with a proven player in the growing luxury Chardonnay and white-wine categories,” Locke said.
Around 250,000 cases of wine a year are sold through the Raeburn business in the Russian River Valley in Sonoma County.
Crimson’s average annual production is more than 400,000 cases. Its portfolio includes Pine Ridge Vineyards, Seghesio Family Vineyards and Chamisal Vineyards.
Purple Brands founder, owner and chairman Derek Benham said the sale “allows us to better focus on and further develop our spirits business".
The company's markets spirits includes Redwood Empire whiskey. Its wine stable also includes brands such as Scattered Peaks and Avalon.
Benham added: “Raeburn has been a tremendous success story and passing it to a dedicated wine group like Crimson ensures the brand's continued ascent.”
Crimson, meanwhile, noted that, depending on market conditions and its ability to secure capital on acceptable terms, it may pursue a rights offering later this year.
