Bacardi completes Patrón Tequila acquisitionBy Nicola Carruthers
Independent spirits producer Bacardi has completed its acquisition of Patrón Spirits International, strengthening the firm’s position in the ultra-premium category.
The deal, which values the Tequila maker at US$5.1 billion, was first announced in January 2018 and closed today (30 April).
Bacardi now owns 100% of Patrón Spirits International and its namesake ultra-premium Tequila brand. Bermuda-based Bacardi first bought a 30% minority stake in the brand in 2008.
Citing IWSR data, Bacardi said the acquisition will make it the second largest spirits company by value market share in the US, and the number one super-premium spirits company in the country.
Patrón Tequila joins Bacardi’s Tequila stable, which includes the Cazadores and Corzo brands.
“We are delighted to welcome the team from Patrón into the Bacardi family,” said Mahesh Madhavan, CEO of Bacardi Limited. “We continue to be inspired by their passion, culture of caring, attention to detail, and unwavering commitment to quality.
“Our promise is to uphold these qualities to ensure the product integrity, innovative marketing, and commercial success of Patrón Tequila for years to come.”
Patrón Spirits president and CEO Edward Brown said it was a “momentous day” for Patrón Spirits.
“With Bacardi and its global presence, there is vast potential to grow the Patron brand outside the United States which is particularly exciting,” Brown added. “Patrón has been a personal passion of mine for nearly 20 years and I am thrilled to now be a part of the Bacardi family.”
From 2015 to now, Bacardi has made a number of high profile acquisitions, taking minority stakes in Ilegal Mezcal, Scotch blender Compass Box and Irish whiskey maker Teeling, as well as majority stakes in Bank’s rum, Leblon cachaça and Angel’s Envy Bourbon.
Earlier this year, SB charted the Tequila brand’s road to success.