Campari purchases stake in Deanston and Bunnahabhain owner

Italian spirits giant Campari Group has completed the acquisition from ODC (BidCo) of a 14.6% minority stake in Capevin Holdings, which indirects owns the Scotch whisky firm responsible for several major brands.

Capvein, a South African-based holding company, owns 100% of CVH Spirits, which is a Scottish firm that operates the production and commercialisation of single malt whiskies, including single malts Bunnahabhain, Deanston, Tobermory and Ledaig, and blended whiskies Scottish Leader and Black Bottle.

Campari has paid £69.6 million in cash for the minority stake in firm, which it also holds the distribution rights for brands from CVH Spirits Limited portfolio in France and South Korea.

Protecting position

In line with the firm’s memorandum of incorporation, Campari Group has exercised its right to appoint a board member and has additional governance rights to “protect its minority position”.

At present Campari’s whisk(e)y range includes The Glen Grant as well as bourbons Wild Turkey and Wilderness Trail and Canadian brand Forty Creek.

CVH was formerly part of South African drinks firm Distell Group, which was bought by Heineken in 2023, with the company becoming an offshoot following the deal. Stellenbosch-based financial services company Remgro, which is one of the biggest publicly traded firms in South Africa and has a stake in the country’s Unilever subsidary, is a majority shareholder in CVH.

Courvoisier

The news comes after Campari Group splashed the cash on French cognac firm Courvoisier form US$1.3bn late last year.

The purchase was one of the last achievement’s of outgoing chief executive Bob Kunze-Concewitz, who led the firm through almost 30 deals in his time at the helm, including the purchase of Grand Marnier in 2016 and Aperol in 2017, before stepping down earlier this year.

New chief Matteo Fantacchiotti warned that the firm would face “temporary headwinds” as it announced its half year results in July, although the company delivered a solid performance of organic growth of 3.8% in net sales, accelerating in the second quarter to 6.9%.

Speaking to the drinks business, Fantacchiotti said about the Courvoisier acquisition and more generally: “We like dusty, unloved brands with fantastic heritage, where we can really dig into the story of the brand.”

One potential reason for the minority stake in the whisky brands was also highlighted by him in the interview, Glen Grant’s performance in Asia. He said: “We have places in Asia where our brown spirits are doing really well.

“I need to say that Glen Grant in Asia is doing phenomenally well off a small base.”

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