Accolade Wines has agreed to acquire the operations of Australian wine company Katnook Estate Coonawarra from Wingara Wine Group for an undisclosed figure.
Accolade Wines will acquire the Katnook Estate brand, winery, the Cellar Door and control of approximately 160 hectares of vineyards in Coonawarra, Australia, as part of the acquisition.
The Katnook Estate brand produces and sells both red and white wines through three ranges: Katnook Founder’s Block; Katnook Estate and Katnook Limited Release.
Once the acquisition is completed, Accolade Wines claims it will review the marketing and packaging for the Katnook brand, while retaining its heritage and history.
According to Accolade Wines, this purchase forms part of its premiumisation strategy, allowing it to secure an additional premium wine for the 2021 vintage, underpinning its global expansion efforts.
Accolade Wines CEO Robert Foye said: “As we modernise these brands’ marketing and packaging, innovate into new higher-value product
tiers and expand the distribution of these brands globally, we need access to more premium wine.
“In terms of the premium wine-growing areas of Australia where Accolade is investigating opportunities to expand its presence and sourcing, Coonawarra is definitely at the top of the list.
“Not only is the area a well-known premium wine region inside and outside of Australia, it also produces the kind of rich and balanced red and white varietals that the rest of the world, including China, are thirsting for.”
Wingara Wine Group is a subsidiary of Henkell Freixenet, and the decision to offload Katnook Estate followed a strategic review of Wingara’s wineries and brands.
Sean Shortt, executive director, sales and marketing at Wingara Wine Group, added: “We’re pleased to have been able to reach agreement with Accolade Wines and believe Katnook Estate will be able to reach its full potential under a new owner.
“Henkell Freixenet considers Australia an important market with great potential and is committed to further developing its sparkling wine and wine sales here.”
This purchase follows Accolade Wines’ decision to offload the entirety of its US-produced wine portfolio to Quintessential Brands earlier this year.
Accolade claimed that the sale of its US operations would allow it to focus on its core international brands and markets.
© FoodBev Media Ltd 2020