Heaven Hill Acquires Black Velvet

Heaven Hill Brands acquired Black Velvet Canadian Whisky, the second-largest selling Canadian whisky in the world, and the historic Black Velvet Distilling facility in Lethbridge, Canada, from Constellation Brands Inc.

Black Velvet, named for its velvety smooth taste, fills an important gap in Heaven Hill’s broad distilled spirits portfolio by substantially expanding sales activities in the Imported Whisky category and fits perfectly with its portfolio of high volume, quality brands like Evan Williams Bourbon, Burnett’s Vodka, Deep Eddy Vodka, Admiral Nelson’s Rums, and Christian Brothers Brandies, said Max L. Shapira, President of Heaven Hill Brands.

Perella Weinberg Partners LP acted as exclusive financial advisor to Heaven Hill Brands. The historic Black Velvet Distilling facility is one of the eight traditional Canadian distilleries in operation.

The acquisition includes all the distilling operations, aging and bottling facilities and the remaining portfolio of Canadian Whisky brands owned by Constellation, which includes Black Velvet, MacNaughton, McMasters, and the international business of the Schenley brands – Golden Wedding and OFC.

Canadian Whisky made up 7.3% of total distilled spirits volume in 2018 according to Beverage Information Group, the largest segment of all total Imported Whiskey. The Canadian Whisky category is approximately 16.8 million cases, with Black Velvet volume representing almost two million cases in the U.S. in 2018.

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