Jim Beam Brands acquires Teacher''s scotch whisky in India
11 Aug 2005
Mumbai: Fortune Brands, Inc. (NYSE: FO), the $7-billion consumer brands company, has completed the transaction for the acquisition of more than 20 spirits and wine brands, Teacher's Scotch Whisky brand in India.
The acquisition will elevate the level of its portfolio, expand its international strength and make it a new global leader in premium spirits and wine. The brands and related assets are being acquired from Pernod Ricard following the latter's acquisition of Allied Domecq earlier.
Commenting on the Teacher's business in India, Rupert Patrick, vice president, Global Travel Retail & Affiliates, Jim Beam Brands, said, "Jim Beam recognises Teacher's market leadership in the 'bottled in India' Scotch segment in India. We have keen interest in the strategy adopted for the steady and robust growth of the Teacher's Scotch whisky portfolio in India and are committed to take the brand forward to make it even more successful. We recognise the great potential and opportunity for Teacher's Scotch whisky in the country and we will work closely with the team behind the successful operations in India. We are currently involved in the integration process for our businesses following the acquisition."
Fortune Brands is acquiring some of the premier growth brands in the world, apart from Teacher's, Sauza tequila, Courvoisier cognac, Canadian Club whisky, Laphroaig single-malt Scotch and Clos du Bois wines. The company is also acquiring leading national brands in the U.K., Spain and Germany, Allied Domecq's distribution operations in those markets and for California wine, Pernod Ricard's Larios brand, and production facilities related to the brands.
The new brands will more than double revenue for the company's spirits and wine business and place it among the top four spirits companies in the world. While there will be a transitional period not to exceed six months during which the assets will be transferred to Fortune Brands, the company will manage the brands and assets - and receive the profits and cash flows - as of the closing.
"Adding
these great brands and assets takes Jim Beam Brands
to a new level," said Tom Flocco, president of
Jim Beam Brands Worldwide, Fortune Brands' spirits and
wine business.
"Our strategy for Jim
Beam Brands going forward is simple. We'll invest in
the continued growth of our leading spirits and wine
brands with a strong emphasis on marketing. We'll leverage
our broader, stronger portfolio to support brand growth.
And we'll capitalize on new international growth opportunities.
To achieve our goals, we'll rely on a powerful combination
of talent from both Jim Beam Brands and Allied Domecq.
We're excited to welcome to our family the teams of
people who have helped build these brands into global
and national leaders," added Flocco.
