Industry Issues
The Wine Group to acquire wine brands, production facilities from Constellation Brands
Livermore, Calif.-based The Wine Group LLC (TWG) announced it has entered into an agreement with Constellation Brands Inc., Victor, N.Y., to acquire several wine brands: Cook’s, J. Rogét, Meiomi, Robert Mondavi Private Selection, SIMI and Woodbridge.
The agreement also includes TWG’s acquisition of three facilities and approximately 6,600 owned and leased vineyard acres across California. The facilities include production sites in Lodi, Monterey County and Healdsburg, where the SIMI winery is located. The transaction is subject to customary regulatory review.
In addition to building on TWG’s ongoing focus to both grow and diversify its portfolio, the transaction is set to bring the company several popular, premium and ultra-premium brands, additional on-premise volume, an expanded retail presence, new in-house operational capabilities and more.
“We’re thrilled to enter into an agreement with Constellation to acquire these highly regarded brands and assets,” said John Sutton, CEO of TWG, in a statement. “As one of the world’s largest wine producers, The Wine Group is proud of our more than 40-year legacy of providing some of the world’s most beloved wine brands with exceptional operational excellence. The addition of these assets will build on our commitment to being a consumer-led company, delivering a diversified portfolio that offers consumers exceptional taste, quality and value — for any occasion.”
The company says it is undergoing a review of its organizational structuring as it prepares to manage a more focused wine and spirits business for Constellation Brands, following the anticipated close of the transaction, and to help ensure the company’s enterprise-wide structure, resources and investments are aligned to help optimized the performance of the business and drive accelerated growth. The review is anticipated to deliver net annualized cost savings in excess of $200 million by fiscal year 2028 for Constellation Brands. The company expects the majority of this work to be completed within its fiscal year 2026, it notes.
The transaction is subject to the satisfaction of certain closing conditions, including the receipt of regulatory approval, and is expected to close immediately following the end of Constellation’s first quarter of its fiscal year 2026.
Castillo Hermanos set to acquire Harvest Hill Beverage Co.
Castillo Hermanos, a multinational diversified business group, has entered an agreement with Brynwood Partners to acquire Harvest Hill Beverage Co., Stamford, Conn. Harvest Hill is a leading beverage products player in the United States, with brands like SunnyD, Juicy Juice and Little Hug in its portfolio.
The acquisition will significantly expand the U.S. presence of the family-owned Castillo Hermanos, providing a platform for the group to grow its existing U.S. business unit. Castillo Hermanos is partnering with private investment firm Centerview Capital, which has provided a “significant investment” and will be a strategic partner to help grow the U.S. beverage business, the group says.
“In recent years, the company has been working to open itself to the world and bring to life our goal to create global brands that ensure sustained growth and continue to strengthen our leadership,” Juan Monge Calderón, chairman of Castillo Hermanos, said in a statement. “This acquisition marks a milestone in our history. We welcome the leadership team of Harvest Hill that will join our team and are confident that, together, we will continue to captivate consumers and create world-renowned brands.”
Castillo Hermanos has more than 139 years of operating expertise and a solid track record in 35 countries, it shares, where it “continues to captivate consumers across its brands.”
“This is a key moment in our history as we set out to meaningfully expand our reach into the U.S.,” Roberto Lara, CEO of Castillo Hermanos, said in a statement. “Our trusted and iconic brands, combined with Harvest Hill’s, offer a compelling product assortment to cater to diverse consumer needs. We are thrilled to welcome Harvest Hill to the Castillo Hermanos family and want every one of their employees to be part of our strategy for expansion and sustained growth. We look forward to working closely with Harvest Hill’s experienced leadership team to unlock key growth opportunities, leveraging their manufacturing facilities, distribution network and understanding of the beverage category in the U.S.”
In a statement, Robert Mortati, president and CEO of Harvest Hill, shared that the company could not be more excited about building a future with Castillo Hermanos.
The transaction will create a compelling player that is well-positioned to capitalize on the significant U.S. juice and beverage alcohol opportunities, the companies say. Having a nationwide beverage platform and diverse portfolio of national, iconic brands, along with a strategically located manufacturing and distribution footprint, and deep relationships with retailers across various channels, will advance Castillo Hermanos’ U.S. route to market, it notes.
Beverage alcohol distributor Southern Glazer’s Wine & Spirits announced a distribution agreement for the Canadian market with Campari Canada. The agreement went into effect April 1 and marks a strategic expansion to bring the supplier’s iconic brands, such as Aperol, Campari and Forty Creek, into Southern Glazer’s best-in-class distribution network across Canada, the company says. This builds on the companies’ successful relationship in the United States. “This agreement represents an exciting milestone for both of our organizations,” said Wayne E. Chaplin, president and CEO of Southern Glazer’s, in a statement. “Campari’s premium brands, combined with Southern Glazer’s world-class sales expertise, create a powerful synergy that will elevate the beverage alcohol landscape in Canada.”
Napa Valley-based Trinchero Family Wine & Spirits recently announced Corey Beck as chief operating officer. Beck joined the family-owned company May 1, reporting directly to President and CEO Bob Torkelson. Beck has three decades of leadership in the wine industry, with a depth of expertise in the alcohol industry to complement that Trinchero portfolio that spans across more than 50 brands. “We are excited to welcome Corey to Trinchero,” said Mario Trinchero, third-generation family member, vice chairman and senior vice president, in a statement. “We know his perspective will be valuable to our organization, and his demonstrated success in winemaking and operating family businesses will help us as we continue to grow and position our company for ongoing success and innovation.”
Electrolyte drink tablet company Plink! is to be distributed nationwide in CVS. Plink! helps people drink more water by making hydration “fun, flavorful and feel-good, without sugar, guilt or plastic,” the company says. Plink! is formulated for everyday hydration, not just athletes or high-intensity workouts. “Plink! has found the sweet spot in hydration,” said Luke Montgomery-Smith, co-founder of Plink!, in a statement. “We are jazzed to see that a major retailer like CVS is noticing that hydration doesn’t have to be reactive in only high-stress or hardcore situations like a marathon or a hangover, but can be an enjoyable and easy solution to everyone’s daily lives.” CVS will carry two of Plink!’s flavors: Pomegranate Berry and Watermelon.
Elmhurst 1925, a plant-based dairy products brand, unveiled that three of its most popular products — Pistachio Barista Edition, Unsweetened Coconut Cashew Milk and Maple Walnut Barista Edition — will be sold across select Whole Foods Market locations nationwide. “We’ve long enjoyed a successful collaboration with Whole Foods Market, and we’re excited to continue to grow together following overwhelmingly positive customer feedback,” said Heba Mahmoud, senior director of brand innovation at Elmhurst, in a statement. “The Whole Foods Market shopper is looking for the tastiest, high-quality, and most wholesome plant-based products available — that’s exactly what Elmhurst delivers. As we continue to set the standard for what plant-based alternatives should be, we look forward to customers nationwide discovering an even greater variety of Elmhurst 1925 offerings.”
Just Ice Tea, an organic, Fair Trade-certified tea brand from the makers of Honest Tea, announced that its bottled and canned teas can be found nationwide at several retailers, including Target, CVS, Wegmans, Harris Teeter, online at Thrive and regionally at 7-Eleven and Walmart. The expansion doubles Just Ice Tea’s retail footprint to more than 12,000 stores across the country, as well as Amazon. “At a time when there are lots of beverages with gimmicky ingredients and alternative sweeteners, we are proud to offer our simple, flavorful takes on the world’s second-most popular beverage (after water, of course),” said Seth Goldman, CEO and co-founder, in a statement. “It’s gratifying to see millions of people embrace the simple ingredients and pure flavors of Just Ice Tea. We can’t wait to introduce Just Ice Tea to millions more this spring as we launch in thousands of more outlets. This tea party is just getting started.”