Constellation Brands, Inc. (NYSE: STZ), the world’s leading premium wine company, announced today that it has completed the acquisition of the Mark West wine brand from Purple Wine Company, LLC for approximately $160 million. The transaction includes the Mark West trademark, certain grape supply contracts and inventories of wines from California appellations: a California pinot noir, a Russian River reserve pinot noir and a Santa Lucia reserve pinot noir, along with a chardonnay. Constellation Brands announced its intent to purchase the brand last month.
Mark West pinot noir, with a 35 percent volume growth rate in the last 12 weeks according to SymphonyIRI, is the nation’s best-selling pinot noir and a leader in wine priced $10-$12 at retail. This recent success caps 10 years of double digit growth for Mark West, which has grown into a nearly 600,000-case brand sold primarily in the U.S.
“Mark West is one of the fastest-growing major pinot noirs in the market and has exceeded the growth of the category,” said Rob Sands, chief executive officer, Constellation Brands. “The brand is an exciting addition and fills a gap in our portfolio of pinot noir brands.”
Source: Constellation Brands