The CHAMP III Fund, advised by CHAMP Private Equity, has completed its acquisition of an 80% interest in Accolade Wines, formerly known as Constellation Wines Australia and Europe.
Announced in December 2010, the acquisition from Constellation Brands Inc (CBI) is valued at approximately AUD290 million. Accolade Wines has a comprehensive portfolio of global brands covering a diverse range of styles and price points. Its well known brands include, in Australia, Hardys, Houghton, Banrock Station, Berri, Stanley and Omni; in South Africa, Kumala and Fish Hoek; and Echo Falls from the USA. Accolade Wines also holds a 50% interest in one of the largest UK alcoholic beverage wholesalers, Matthew Clark.
CHAMP Managing Director, John Haddock, says: “CHAMP is in the business of identifying growth companies for investment by its funds. It has a demonstrated track record of achieving sustainable earnings growth in its Funds’ portfolio companies. We are known for supporting the capital requirements of the portfolio businesses and for backing outstanding management.
“I think everyone knows there are a number of challenges facing the wine industry but it’s an important industry and we will be enthusiastic advocates for it. We see Accolade Wines as a company with strong fundamentals, a sound competitive position, a capacity to grow and an opportunity to re-invigorate its brands. Accolade Wines will work with CBI, which retains a 20% holding in the new entity, to distribute and supply each others products globally.”
Accolade CEO, Troy Christensen says: “The management team is looking forward to working with the new owners who are bringing open mindedness, fresh energy and an expansive approach to the business. Management and CHAMP consider the new name to be consistent with their aspirations for the future of the company.”
