Campari Group acquires Bisquit Cognac

Campari Group will acquire Bisquit Dubouché et Cie, owner of Bisquit Cognac, from South Africa based Distell Group for €52.5m ($62.4m).

Campari Group says the acquisition will allow it to expand its offer in the premium and growing cognac category, particularly in the US and China. 

Bisquit Cognac was established in 1819 by Alexandre Bisquit, and is based in Cognac, France. The brand is expected to achieve pro-forma net sales of around €9m ($10.7m) in FY2018, with key markets including South Africa, Belgium, Global Travel Retail and Switzerland.

The brand portfolio includes a classic range of cognacs, such as Bisquit V.S. Classique, Bisquit V.S.O.P., Bisquit Prestige and Bisquit X.O., alongside rare collections and limited editions.

Key regions for premium cognac

Bob Kunze-Concewitz, CEO, Campari Group, said: “Thanks to the super premium brand Bisquit Cognac and its strong heritage, we further enhance our premium brands portfolio, driving richer product mix. 

“Moreover, we acquire a significant stock of high quality cognac and take full control of the cognac ageing process, thus enabling brand innovation opportunities in the future. 

“From a distribution standpoint we further strengthen our route-to-market, particularly in our recently established South African market, with potential upsides to further develop the newly acquired business internationally, particularly in US and China, the key regions for the premium cognac category. 

“Moreover we further increase our exposure to the premium on-premise distribution channel, across both developed markets and emerging markets.

Campari Group, the Italian company which is one of the largest spirit groups in the world, will acquire all the shares in Bisquit, as well as the inventory, maturing stock valued at €33m ($39.2m), trademarks and production facilities. 

Distill says the disposal of Bisquit will allow it to focus its efforts on accelerating growth in its key product categories and markets.

The transaction is expected to be completed on January 2, 2018.