Campari buys $20m Australian RTD packaging plant

28th June, 2013 by Becky Paskin

Gruppo Campari is investing in its Wild Turkey ready-to-drink products with the AUS$20m acquisition of a beverage packing company in Australia.

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The acquisition of Copack in Australia will allow Campari to ramp up production of its popular Wild Turkey RTD lines

The purchase of Copack, a can and glass packing specialist in Melbourne, is a strategic move for Campari to bring the manufacturing facilities for its key Australian market in-house, while strengthening its supply capabilities for the Asia-Pacific region.

With Australia one of the largest importers of Bourbon and consumers of RTDs in the world, Campari has seen sales of its Wild Turkey and American Honey brands grow enough in just three years of operation in the country to make “the in-sourcing of manufacturing facilities for the region viable”.

In a statement released today, Gruppo Campari said: “The acquisition of Copack was deemed by the Group as the preferred option compared to the cost of a possible greenfield initiative. This acquisition further strengthens the company’s international supply chain capabilities, whilst adding flexibility to the local organisation, heightening quality control and further supporting innovation capabilities.

“Moreover, it provides the Group with an opportunity to support the company’s future growth in the Asia-Pacific region.”

The AUS$20m (€14.2m) purchase price includes the sale of Copack’s land, buildings, production assets and working capital. The deal is expected to be complete in Q3 2013 with a ROI for Campari in around six years.

Since Gruppo Campari bought Wild Turkey in 2009, introducing the brand in Australia in 2010, the market now accounts for 6.1% of the group’s net sales. Its Wild Turkey American Honey has become one of the fastest growing brands in Australia since its launch in 2011.

The group also distributes its Skyy Vodka, Campari, Frangelico and Aperol brands in the country.

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