Duckhorn owner buys Napa’s Far Niente

A majority stake of Far Niente Wine Estates in the Napa Valley has been sold to private equity firm GI Partners, the majority shareholder of Duckhorn.

Far Niente

GI Partners bought the stake in Far Niente from its current owners Beth Nickel, her son Erik, CEO Dirk Hampson and president Larry Maguire, all of whom remain shareholders.

In addition to Far Niente in Oakville, GI Partners has also acquired a majority share in sweet wine specialist Dolce, single vineyard Cabernet winery Nickel & Nickel, Russian River Valley Pinot Noir and Chardonnay specialist EnRoute and Rutherford-based Bella Union as part of the deal.

All winemakers, and members of the sales and marketing teams are expected to keep their jobs following the sale to the San Francisco investment company.

“With shared values and vision, our new partnership clears the way for continued growth and improvement in our group of luxury wineries that we’ve been building since the re-establishment of Far Niente in 1979,” said CEO Dirk Hampson.

“We are proud to align ourselves with the Far Niente team. We share their vision and long term goals to continue as an independent fine wine company,” David Mace, managing director of GI Partners, added.

Having been founded in 1885, Far Niente was abandoned for 60 years after Prohibition. It was bought by Gil and Beth Nickel in 1979 and has since built a reputation for high-end Chardonnay and Cabernet Sauvignon.

In 2010 Gil and Beth’s second son and 35% shareholder Jeremy sued Far Niente’s board members with the exception of his mother for giving themselves bonuses without shareholder approval. The suit was settled in 2011. Jeremy is no longer a shareholder in the company following the sale.

Founded in 2001, GI Partners acquired a majority stake in the Duckhorn Wine Company for a reported $250 million in 2007.