Stock Spirits buys Czech vodka and gin trio

Central and Eastern European group Stock Spirits has acquired Prazska vodka, Nordic Ice and Dynybyl gin from Bohemia Sekt for CZK135 million (US$5.5m) as it looks to strengthen the business in the Czech Republic.

The purchase is part of the firm’s strategy to expand its portfolio in target markets through bolt-on acquisitions that “enhance shareholder value”.

According to Stock, Prazska is a well-known Czech vodka brand while Dynybyl is the country’s best-selling domestic gin. The purchase of Nordic Ice includes the core ‘spirit cocktail’ and its flavoured extensions.

The firm says the new additions will deliver “a more compelling offering” to the Company’s wholesale and retail customer base in the Czech market.

Stock plans to be distributing and marketing the brands by the end of October, while production is expected to be fully integrated into its production facilities in Plzeň by January 2017.

Mirek Stachowicz, chief executive of Stock Spirits, said: “We are delighted to add Prazska, Nordic Ice and Dynybyl to our line-up, having tracked these brands for some considerable time.

“They have a rich heritage and, with the appropriate brand investment and nurturing within our wider spirits portfolio, their addition will ensure Stock remains at the forefront of the Czech spirits market, which is so central to our business.

“As we stressed in our interim results announcement, we will continue to pursue further smaller bolt-on acquisitions to add to our brands line-up.”

Stock Spirits bolstered its role as a distributor in July, signing agreements with both Distell and Synergy Group after a shareholder revolt which rocked the firm. In an effort to calm investors’ nerves, it subsequently announced a special dividend of 10p per share.