Written by Carol Emmas

Gruppo Campari has acquired an 81.4% stake in rum giant Lascelles deMercado.

This means it will become a key player in the rum category, which includes Appleton Estate, Appleton Special/White, Wray & Nephew and Coruba brands, and will create a major boost for Campari internationally, growing the business outside of Italy, while strengthening its largest and most profitable business, the spirits segment.

The agreement and formal tender offer, which is signed with members of the CL Financial Limited group of companies, is expected to complete before the end of the year.

The deal will enhance business in the Americas – including the US, Canada, Mexico and the Caribbean – and it also acquires a leading market position in Jamaica, creating the foundations for future international growth.

It becomes the third largest acquisition in the company’s history, after Wild Turkey and Skyy Spirits.

Bob Kunze-Concewitz, chief executive, said: “With Lascelles deMercado, the award-winning distiller of world-class premium dark, overproof and gold Jamaican rums, we are once again leveraging our acquisition framework in a very disciplined and consistent manner for future growth.

“The addition of the Appleton, Wray & Nephew and Coruba rum brands, as well as a portfolio of local Jamaican brands, will help us build our critical mass further in key North American markets, provide a leading market position in Jamaica and a major destination in the Caribbean, while laying the foundations for future international growth across all major usage occasions of the growing and premiumising rum category.”

The total purchase price for 100% of LdM’s share capital is approximately €330 million (£261 million at current exchange rate) on a cash-free, debt-free basis.

For more on this story go to:

http://www.harpers.co.uk/news/news-headlines/12726-campari-acquires-controlling-stake-in-rum-giant.html