Messenger The American love affair with wine dates back to the earlier European settlers in the 16th century, when they began making wine with a native grape known as muscadine.
Its purchase of Germain Robin will allow Gallo to quickly migrate into the higher priced and more profitable brandy segment. Vision flows from producer to critic, from critic to consumer, and finally, from consumer to consumer in waves of conversation. It has created acquisition opportunities for a broader range of buyers who are able rationalize more favorable sourcing economics and relatively lower regulatory constraints from these emerging regions in comparison with other wine regions such as Sonoma and Napa.
Santa Rosa-based Vintage Wine Estates, which over the past five years has amassed a collection of wineries and brands through acquisitions, expanded its geographic footprint in and with the purchases of Firesteed Cellars in Oregon, Buried Cane in Washington state and Clayhouse Wines in Paso Robles, Calif.
It has strung together numerous premium brand acquisitions in recent years, including Meiomi, The Prisoner, Charles Smith and, most recently, Schrader Cellars in June Additionally, continued consolidation among wholesalers and retailers is putting pressure on suppliers—especially mid-sized wine companies—to expand portfolios in order to stay relevant in the marketplace.
Americans love their wine. The New York-based conglomerate also has utilized a similar strategy in beer and spirits, notably acquiring craft whiskey maker High West Distillery and craft brewer Ballast Point, as well as additional brands in both beverage categories.
Additionally, mid-sized wineries looking to build scale generated healthy demand for production assets, with some pursuing standalone winery facilities and vineyard opportunities in order to bolster capacity and sourcing strategies.