Suntory completes $16bn acquisition of Beam

Japanese drinks group Suntory has completed its US$16 billion acquisition of Beam Inc, creating Beam Suntory Inc.

Suntory has finalised its takeover of Beam Inc, creating Beam Suntory Inc

The deal, which was first announced in January this year, sees Suntory become the world’s third largest drinks group, behind Diageo and Pernod Ricard.

It is hoped that Suntory’s spirits portfolio, including Yamazaki and Hibiki whiskies, will be integrated into the new business by the end of this year.

The new company will be headquartered in Beam’s main office in Deerfield Illinois, creating a stronger distribution presence for Suntory’s portfolio in the US.

Matt Shattock, who has been CEO of Beam since 2009, will lead Beam Suntory Inc.

“By combining the world leader in Bourbon and Japan’s leading spirits company, we have created a stronger global business with an even better premium portfolio,” he said.

“We will be focused on continuing our momentum, growing in developed and emerging markets, and building on our combined strengths.

“Those strengths include a dynamic portfolio across key categories, powerful routes to market and passionate people.”

Shattock added that he believes both companies are united by an “entrepreneurial and innovative spirit” and “proud heritages rooted in multi-generational family businesses”.

Beams portfolio of brands, including Maker’s Mark Bourbon, Pinnacle vodka, Jim Beam Bourbon, and Courvoisier Cognac, will be integrated with Suntory’s Hakushu whisky, Kakubin whisky, and its Scotch subsidiary Morrison Bowmore Distillers.

Nobutada Saji, president and chairman of Suntory Holdings, said: “I am very delighted with the launch of Beam Suntory, which unites Beam and Suntory’s spirits businesses, and I truly believe Beam Suntory will continue to grow strongly in the global spirits industry.”

In 2013, Beam Inc and Suntory’s spirits arm reported combined sales of US$4.6 billion. Beam Suntory Inc is a subsidiary of Suntory Holdings.