Campari announces the acquisition of the Riccadonna brand
Value of the acquisition: €11.3 million Campari Group now stronger in the wines segment Strengthening of leadership in the Asti category in Australia and New Zealand
Milan, 31 July 2003 – The Campari Group announces today the signing of an agreement for the purchase of the Riccadonna brand from Bersano - Riccadonna S.p.A., for € 11.3 million.
Campari has been distributing these brands since 1995 in the main export markets, and particularly in Australia and in New Zealand where they are leader in the Asti category, and will develop sales worldwide, with the exception of the Italian market where distribution will continue to be handled by Bersano under a renewable 1-year agreement.
The transaction is expected to be closed in early 2004, at the time when Campari's new Novi Ligure production site is scheduled to start operating. This plant will incorporate the production of the mainRiccadonna products, including those to be sold in the Italian market, leveraging the consequent industrial synergies. The Novi Ligure plant will also manufacture the entire Cinzano range of sparkling wines and vermouths, which the Group acquired in 1999. The plant is eventually to manufacture Campari, Cynar, Biancosarti and Jägermeister as well.
In 2003, projected net sales of Riccadonna will be around € 13 million, of which approximately € 7 million in export markets.
Riccadonna, a historical company founded in Canelli in 1921, has in its brand portfolio some of the most important names in the Italian and international sparkling wine market, including Asti Riccadonna and President Reserve Riccadonna, icons of Italian sparkling wine-making art and tradition.
As Marco Perelli-Cippo remarked, “this transaction confirms our interest in this market area and further strengthens our position in the wines segment. The acquisition of Riccadonna also gives Campari the opportunity to consolidate its leadership in the Australian and New Zealand markets”.
The Campari Group thus expands its offering in the wines segment, where it owns several top selling brands: in addition to Cinzano and Riccadonna, Sella & Mosca, the high-range products of Sardinian winemaker which produces and distributes, among others, wines like La Cala, Terre Bianche, Cannonau Riserva, the prestigious Monteoro and Arenarie whites and renowned Marchese di Villamarina and Tanca Farrà reds. In turn, Sella & Mosca S.p.A. owns approximately 93.66% of Quingdao Sella & Mosca Winery Co. Ltd., a joint venture located in China with local partners, which produces the Chinese wine brand Catai, and 100% of Société civile du Domaine de la Margue, the domaine that manufacturers Chateau Lamargue, a range of high-quality French wines.