Campari Group has signed an agreement to acquire its current French distributor, Baron Philippe de Rothschild France Distribution (RFD) for €60 million.
The acquisition follows the successful conclusion of negotiations that were initially announced in November, earlier this year.
According to Campari, in 2018 RFD reported sales of €145.1 million local GAAP with Campari Group’s business contributing the most to RFD sales value and growth.
A wholly owned subsidiary of Baron Philippe de Rothschild S.A., RFD specialises in the distribution of a diversified portfolio of international spirits, wine and champagne brands in France.
RFD currently distributes Campari Group brands including Aperol, Campari, Glen Grant and Grand Marnier to the French market and has done so since 2009.
Bob Kunze-Concewitz, CEO of Campari Group, said: “This contemplated acquisition is a key step forward into Campari Group’s long-term growth strategy aimed at continuously strengthening our route-to-market globally.
“France is a core and high potential market for Campari Group, mainly thanks to our aperitifs business and the newly acquired rhum agricole premium brands Trois Rivières and La Mauny.
“This deal offers us a unique opportunity to insource RFD’s strong distribution capabilities and therefore operate directly in this market, benefiting from significantly increased critical mass as well as enhanced focus on our core brand portfolio.”
The transaction is expected to close during the first quarter of 2020 subject to customary approval.
© FoodBev Media Ltd 2019