Brands involved in the long-term licensing agreement are Beringer Main & Vine, Beringer Founders Estate, Coastal Estates and Meridian brands. Terms weren’t disclosed.
Treasury Wine Estates said Beringer remains a core brand within the TWE portfolio and it hasn’t any intention of disposing of any other Beringer brands in future transactions.
The Wine Group will acquire existing inventories associated with these brands on a progressive drawdown basis and will assume responsibility for related future bulk wine supply contracts.
TWE’s chief executive, Tim Ford said the transaction “will be of mutual long-term benefit to our respective organizations. For TWE, this transaction is a significant milestone towards our plans to deliver the future state premium US wine business and we can now focus solely on continuing the growth of our premium brand portfolio to drive future performance in the Americas”.
“The Wine Group is a leader in the industry with strong wine brands that deliver unbeatable value,” Cate Hardy, CEO of The Wine Group said “The acquisition of these popular brands further positions The Wine Group as a global leader in wine. Adding these brands complements TWG’s leadership in the value segment alongside our growing portfolio of premium wines, introducing more consumers to our high-quality wines at every price point.”