Moët Hennessy teams up with Campari on joint venture ecomms businessBy Arabella Mileham
Moët Hennessy has teamed up with Italian drinks company Campari to launch a joint venture ecommerce business that will sell premium wines and spirits across Europe.
The new business venture will see both companies invest in the pure-play digital retailer, which will be based on Campari’s existing ecommerce channel Tannico, which was launched by the Italian drinks producer in xxx. Tannico also owns a majority stake in the e-commerce platform Ventealapropriete.com, which sells premium wines and spirits in France. Together, the two platforms generated
pro-forma aggregated sales of over €70 million in 2020.
Under the terms of the deal, Campari has transferred its stake in Tannico into a newly set up joint venture. The deal will also see Campari sell half of the joint-venture’s equity capital to Moët Hennessy for 25.6 million euros ($30 million) in cash, the company said.
The combined business will be headed up by Marco Magnocavallo, the current CEO of Tannico, who remains a key minority shareholder in the business, along with the management team.
Philippe Schaus, President & CEO, Moët Hennessy said the partnership represented a significant step forward in the company’s global ecommerce development strategy.
“While e-commerce was already a growing channel for wines and spirits, the global pandemic has triggered a significant acceleration,” he noted.
Bob Kunze-Concewitz, CEO of Campari Group said it would allow Tannico to grow and further strengthen its footprint and expertise in the online retailing of spirits & wines.
Magnocavallo agreed, saying that with the backing of the two companies, the new business would have the “firepower” to consolidate the fragmented European e-commerce sector and “offer a qualitative, sizeable and integrated route to market option catering to the needs of all its wines and spirits suppliers”.
The deal is subject to regulatory clearance.