Rum blender E&A Scheer gets new owner

Global investment firm Platinum Equity has acquired one of the world’s largest bulk rum producers, E&A Scheer, for an undisclosed sum.

Platinum Equity purchased Amsterdam-headquartered E&A Scheer, described as the largest global blender and vendor of bulk premium rum, from The Riverside Company.

Equity firm The Riverside Company first made a ‘significant’ investment in the Netherlands-based rum blender in February 2019.

With origins dating back to 1712, E&A Scheer specialises in sourcing and blending rum blends for business-to-business customers. The company operates ageing facilities in Liverpool in the UK, including The Main Rum Company subsidiary.

Platinum Equity co-president Louis Samson said the rum blender “plays a unique and essential role in the global rum market”.

“We believe the rum category has promising prospects driven in part by the increasing popularity of new craft brands and the trend toward premiumisation,” he continued. “We are excited to help the company capitalise on these opportunities by investing in the company’s continued success.”

E&A Scheer sources rum from more than 60 suppliers across 40 countries, and holds vast stocks of aged inventory, including rare single casks. The company said it has a lead time of only 10 days from order to shipment.

“E&A Scheer’s scale and unique position in the value chain make it an attractive platform for growth, both organically and through prospective additional acquisitions,” added Platinum Equity managing director Fernando Goni.

“With our financial and operational resources, we see a lot of runway for E&A Scheer’s continued growth and intend to support it via international expansion and M&A [mergers and acquisitions]. We are excited to partner with the company’s experienced leadership team on the next chapter.”

The CEO of E&A Scheer, Maarten Obbink, believes Platinum’s “resources, experience and global reach will benefit our efforts to continue growing and expanding our business”.