The sale of the brands (sold through subsidiary The 1887 Company Limited) will see Scotland-headquartered Edrington exit the blended Scotch category and embark on ‘the next stage of the company’s mission to be the world’s best at crafting exceptional ultra-premium spirits brands’.
It will sell the brands to another company centered around Scotch with Scottish roots: William Grant & Sons, the company behind Glenfiddich, Grant’s and Hendrick’s Gin.
The deal is subject to customary regulatory approvals, including from the UK’s Competition and Markets Authority (CMA).
The Famous Grouse has been building momentum in recent years, growing both revenue and profit in 2023, with growth coming from both emerging markets and also mature markets where the brand already enjoys a leading position, according to Edrington’s 2023 Annual Report. The recovery of Travel Retail, in particular, has boosted the brand after the pandemic.
However, the company also noted a backdrop of ‘dramatic cost inflation’ and decline in the Blended Scotch category in key markets.
Scott McCroskie, Edrington CEO said: “We consider this the right moment for Edrington to exit the blended Scotch category and focus on our core portfolio of ultra-premium spirit brands.
“The Famous Grouse is a well-loved brand that has consistently performed in its category during the time it has been part of Edrington, and Naked Malt has grown its reputation. I am confident that these brands are well-positioned to continue to succeed as part of the William Grant & Sons portfolio.”
