US distiller Sazerac has entered an agreement to buy the UK-based spirits brand Au Vodka.

Terms of the transaction were not disclosed.

In a statement today (17 August), Buzzballz owner Sazerac said it had struck a "binding" deal for the producer of vodka-based RTDs and flavoured vodka drinks.

A report from Sky News on Saturday (15 August) suggested Au Vodka was in "advanced talks" with the Buffalo Trace brand owner over a possible sale of the business for £500m ($678m).

"Sazerac works continuously to grow its business by investing in brands and building out its portfolio globally to connect with consumers," the Buffalo Trace distiller said today.

"The United Kingdom is an important market for Sazerac, and this opportunity enables the company to deepen its presence in the UK."

Just Drinks has approached Au Vodka for comment.

The transaction is expected to be finalised "within weeks", Sazerac said. Au Vodka will sit alongside other vodka brands in Sazerac's spirits portfolio like Wheatley and Svedka.

Headquartered in Swansea in Wales, Au Vodka makes flavoured vodka drinks sold in gold cans and bottles.

The business was set up in 2015 by Jackson Quinn and Charlie Morgan and has also been backed by UK DJ Charlie Sloth.

Several big-box retailers stock the brand in its home market, including Asda and Tesco. Au Vodka also launched in the US in 2022, and is available to buy direct from its website in several European countries, including the Netherlands and Germany.

Filings on the UK business register Companies House show Au Vodka booked a 27% increase in turnover for the year ended 29 April 2025 to £82.8m. The company posted a profit of just under £5m, versus £4.1m a year earlier.

In recent months, Sazerac has made a series of moves to increase its presence in the RTD category.

In May, Sazerac acquired an equity interest in Sipmargs, the RTD margarita brand backed by social media influencer Alix Earle. In March, the group also snapped up the Dirty Shirley cocktail brand.

Not all of Sazerac's M&A ambitions have been fulfilled. Last month, Brown-Forman rejected a takeover approach from Sazerac.

Brown-Forman’s board confirmed receiving the “unsolicited” offer but concluded it was “not actionable”.

According to reports, it was not the first time Sazerac had made a move for Brown-Forman.

In April, Sazerac reportedly put in a offer worth roughly $15bn for Brown-Forman That bid, said to be worth $32-a-share, was reportedly turned down by the Jack Daniel’s maker the following month.