The joint venture, a 50/50 global partnership between Diageo and Combs Wine & Spirits, builds on a strategic alliance formed by Diageo and Combs Enterprises to develop and grow the Ciroc ultra-premium vodka brand.
Since the alliance began in 2007, Ciroc has grown from just 50,000 cases a year into a nearly two million case brand. The DeLeon joint venture will benefit from Diageo’s strong distribution network, supply chain and marketing capability, and Sean Combs’ access to influencers and proven track record of marketing luxury lifestyle brands.
“The joint venture with Combs Wine & Spirits and its purchase of DeLeon is Diageo’s latest step toward returning to a leading position in tequila in North America,” said Larry Schwartz, president, Diageo North America. “Expanding our relationship with Sean Combs into tequila was a natural choice given Sean’s ability to galvanise support for luxury brands, as we’ve seen with our work together on Ciroc. Ultra-premium and above tequila is a very exciting segment. We already have a strong brand there with Don Julio and are pleased to complement that offering with DeLeon.”
Combs Wine & Spirits is a privately owned, premium spirits and wine business founded and created by Sean ‘Diddy’ Combs in 2013.
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