Bacardi slams down deal to buy Patron tequila

Gabriel Olsen | Film Magic | Getty Images

The acquisition comes nearly a decade after Bacardi acquired a minority stake in the tequila company and reflects an enterprise value of $5.1 billion.

Mahesh Madhavan, CEO of privately held Bacardi Limited, said the acquisition will not only help make Patron more popular in the USA, but foreign markets as well.

Bacardi said it has had a minority interest in Patron since 2008.

Bacardi Ltd will buy premium tequila maker Patron Spirits International AG in a $5.1 billion deal, the family-owned liquor company said on Monday, as it seeks to expand in the United States.

Global tequila sales rose 5.2 percent in 2016, according to research firm IWSR, while the overall market for alcoholic drinks fell 1.3 percent. It said the trend had moved away from drinking tequila as a shot to "high quality, cocktail combinations and sophisticated sipping products".

The deal comes days after Pernod Ricard bought out Avion Tequila and months after Diageo bought George Clooney's Casamigos tequila for up to $1 billion.

Bermuda-based Bacardi was founded in Cuba in 1862, selling its namesake rum. Today it holds brands including Grey Goose vodka, Dewar's whisky and Bombay Sapphire gin.

Related News:

Most liked

Grass fires burn Monday in Flower Mound, Parker County
Several people could be seen outside the Texas Pythian Home for children using tractors to try to stop the fire from spreading. High winds and low humidity are making fire risks increase across the area, according to the National Weather Service.

Neil Diamond announces retirement from touring following diagnosis of Parkinson's disease
The onset of the disease is said to have made it "difficult" for Diamond to "travel and perform on a large-scale basis".

Cavs players call out Kevin Love in 'emotional team meeting'
The Cavs have been worse, winning only three of their past 13 contests while moving to 27-18 overall. In his first season with the Cavs, Wade said, "I think we want it because we want to win".

Pence to visit Western Wall after pro-Israel speech
Pence added that he was hopeful that the United States had helped spur a "new era of renewed discussions" about regional peace. But the move has infuriated the Palestinians, with whom Pence is not meeting, and upset America's Arab allies as well.

Investors Buy United Parcel Service (UPS) on Weakness
The transportation company reported $1.58 earnings per share for the quarter, beating the consensus estimate of $1.46 by $0.12. United Serv Automobile Association holds 0% of its portfolio in World Acceptance Corporation (NASDAQ:WRLD) for 4,470 shares.

'Leaked' pictures show Sanchez as United's No. 7
The Portuguese told supporters to expect a transfer either "soon or never", adding: "I think it's so close, so close". Sanchez and Mkhitaryan came within MINUTES of bumping into each other at the immigration office this afternoon.

Manchester United pip Real Madrid to top Deloitte Money League
Manchester United have been named the top revenue-generating club for the second straight year by Deloitte. Aggregate revenue for the top 20 clubs rose 6% from the previous year to £6.8bn, a new record.

Monday Night Raw Intercontinental championship results: Reigns vs. Miz
When Reigns defeated Miz, he became a Grand Slam Champion - having one every eligible championship at least once. He commented that the moment was one of the most important in WWE history, and would always be remembered.

5 dates announced for her "Piece of Me" tour
She will play a show at the O2 Arena in London on August 24 as well as the SSE Hydro Glasgow , Oslo, Antwerp and Dublin . Britney Spears is bringing her Piece of Me tour to Dublin's 3Arena this summer for one night only.

UK's Johnson says world waiting with 'great interest' for Trump peace plan
Just before the secretary of state arrived, the U.S. ambassador told reporters: "The embassy actually is going to really work". The two leaders are due to meet this week at the World Economic Forum in Davos.

US Secretary visits London embassy after Trump snub
Tillerson's mini-tour of Europe will continue with a visit to Paris on Tuesday, where he will also be joined by Johnson. Johnson described the relationship as "absolutely fundamental" to Britain's economy.

Murdoch's £11.7bn Sky bid 'not in the public interest'
Anne Lambert, chair of the independent investigation group, said: "Media plurality goes to the heart of our democratic process".

Health officials: 12 deaths in Georgia from flu
One measure of the season is how many doctor or hospital visits are because of a high fever, cough and other flu symptoms . A total of 110 died during the 2016-17 flu season, and this year is shaping up to be even more severe .

Guardiola targets 10 more victories to win Premier League
You always have doubts after the Liverpool loss as to how we react. "Those who have the ability to dribble, should dribble". The second goal changed the complexion of the game as it forced Benitez to go with Plan A Mark 2.

Four hurt, one missing after Japan volcano erupts
Among the injured were four people hurt by the shattered glass while on a ropeway gondola at the ski resort in Gunma. Television news channels reported as many as 15 people may have been injured by rocks thrown out by the volcano.