Australian Wine Holdco Limited (AWL), a consortium formed by international institutional investors, officially announced its plan to integrate Accolade Wines with the Australian, New Zealand, and Spanish wine segments of Pernod Ricard. This strategic move aims to forge a globally efficient and diverse wine business, capable of addressing the pivotal challenges within the industry.
The merger is set to create a broad portfolio combining old and new world wines through brands operated not only in Australia but globally. AWL will incorporate Pernod Ricard’s renowned international brands, including Jacob’s Creek, Orlando, and St Hugo from Australia; Stoneleigh, Brancott Estate, and Church Road from New Zealand; along with Campo Viejo, Ysios, Tarsus, and Azpilicueta from Spain. The integration of these brands will bring together an impressive array of over 10 million 9Lcs cases annually produced across three distinct regions, supported by seven dedicated wineries.
Accolade Wines, known for its comprehensive management from grape to glass, boasts a rich selection of both traditional and contemporary wine brands such as Hardys, Grant Burge, and Petaluma, as well as Mud House and Jam Shed. This diverse portfolio ensures that the combined business is versatile and innovative, enhancing its capability to cater to various consumer preferences and markets.
Joshua Hartz, spokesperson for AWL, outlined the strategic rationale behind the merger: “Both Accolade Wines and Pernod Ricard have a long, proud history as world-class wine producers. Combining Accolade Wines with the Pernright assets will create a more certain and financially sustainable future for the business, allowing us to better serve our customers, in more segments and more geographies. Backed by AWL, the combined business will be better able to adapt to changing consumer tastes and meet the structural challenges facing the global wine industry.”
This pivotal amalgamation is subject to regulatory approval. AWL is committed to cooperating with relevant authorities to facilitate the merger and ensure a seamless integration, aimed at future-proofing the business and refining its global operations.
The transaction, while crucial, has its terms under wraps with the price of the Pernod Ricard assets declared as commercial in confidence.
Accolade Wines, headquartered in Australia, draws from its significant historical roots in winemaking, most notably with Hardys, established in 1853. Employing over 1,000 individuals across more than 20 countries, Accolade Wines prides itself on the accolades earned by its award-winning team. With over 9,000 recognitions in the past decade, including 370+ trophies and 1,450+ gold medals, Accolade Wines is a frontrunner in the industry. It continues to commit to sustainable and innovative practices to propel the wine industry forward.
On the other hand, Pernod Ricard stands as a global leader in the spirits and wine industry. With a portfolio extending from Absolut vodka to The Glenlivet Scotch whiskies, Pernod Ricard combines traditional craftsmanship with advanced brand development strategies. In fiscal year FY23, the company reported consolidated sales of €12,137 million, reflecting its strong market presence and commitment to growth respecting both people and the environment.
Through this forward-looking consolidation, AWL aims to enhance global wine offerings efficiently and sustainably, setting a new standard for the wine industry worldwide.
