Gruppo Campari announced some days ago the signing of an agreement to acquire Bulldog London Dry Gin, an independently owned brand, for USD 55 million (corresponding to €50.9 million at the current exchange rate), plus working capital and assumed liabilities for USD 3.4 million (€ 3.1 million). The agreement foresees the possibility of an earn-out payable upon the achievement of certain incremental sales volumes according to agreed volume targets. The closing is expected by mid February 2017.
DEAL TERMS – Gruppo Campari has been distributing Bulldog Gin since 2014 through its own distribution network, including the Global Travel Retail channel, by virtue of an exclusive five-year agreement with an attached call option to acquire ownership of the brand in 2020. Following a renegotiation of the deal terms, Gruppo Campari accelerated its purchase of the brand. The new deal structure enables Gruppo Campari to achieve a financially attractive proposition, allowing it to fully exploit the brand’s growth potential going forward by taking full control of the marketing strategy as well as the brand building initiatives. Launched in the USA in 2007 and subsequently in Europe, Bulldog Gin is, according to Iwsr, the number 4 premium gin in the world and is available today in 95 countries, with a strong concentration in Europe. Spain, Benelux, the UK, Global Travel Retail and the USA are the brand’s largest markets. Bulldog Gin achieved net sales of approximately €11 million in 2016, an increase of 22% on 2015 on a like-for-like basis, with 150,000 9 litres cases sold globally. Bob Kunze-Concewitz, Campari Chief Executive Officer, states: We are very pleased to initiate the acquisition of Bulldog Gin which we have successfully been distributing since 2014. This deal is an opportunity to consolidate our presence as a key player in the attractive super premium gin category via a super-premium brand with significant growth potential.
A UNIQUE SPIRIT – Bulldog Gin was created in 2007 by entrepreneur and ex-investment banker, Anshuman Vohra. Based on a distinctive blend of 12 botanicals from eight countries, it is quadruple distilled in traditional copper pot stills at the world’s foremost gin distiller, based in England. It’s an ultra-smooth gin with depth and subtlety which challenges traditional conventions and perfectly embodies the new and bold taste profile of the modern drinker: a premium white spirit perfectly balancing the modern and traditional. Bulldog had one of the highest ratings ever received by a gin from Wine Enthusiast Magazine.