The 5 Hottest Alcohol Trends of 2015
on 25/02/15 at 9:44 amIndustry
Less surprising was Diageo’s strengthening of its position in tequila with a series of acquisitions, including giving up its Bushmills Irish whiskey brand and gaining a majority stake in the Indian company, United Spirits, making it the undisputed global leader in spirits in volume terms.
The one other major acquisition of interest was William Grant’s acquisition of Drambuie.
High prices show both the huge potential there is for international spirits brands but also the scarcity of brands, with many of them privately owned. The high prices paid for Beam by Suntory, for the majority stake in United Spirits by Diageo and, perhaps more ridiculously, for Whyte & Mackay by Emperador have encouraged all companies and brand owners wanting to sell to expect and demand very high prices for their assets. Unless sellers are more realistic, or potential buyers so desperate or see potential for huge synergies/growth, companies will shy away from acquisition.