Rémy in talks for Bruichladdich takeover
Rémy Cointreau has confirmed its entry into “exclusive negotiations” for the acquisition of the Bruichladdich Distillery Company.
Founded in 1881, the Islay-based distiller produces a range of premium single malt Scotch whiskies as well as The Botanist, a small-batch gin made from 22 wild botanicals foraged from around the Hebridean island.
Only last month Rémy Cointreau, whose brand portfolio includes Rémy Martin Cognac, Cointreau liqueur and Mount Gay rum, announced “outstanding” profits of €207.7 million, a 24.4% increase on its 2011 year-end results.
At the time, the group concluded: “Despite an uncertain economic and monetary environment in Europe, Rémy Cointreau is in a good position to continue to grow its brands. The group will therefore remain true to its value strategy whilst considering potential growth opportunities.”
Following a share buyback programme, the company is sitting on close to £100 million of equity, which the drinks business recently speculated was being lined up for an acquisition.
With the Scotch Whisky Association reporting record shipments of £4.2 billion last year, thanks to rising demand in both mature and emerging markets, it is no surprise that Rémy Cointreau wishes to add a Scotch whisky brand to its portfolio.