Constellation Brands Takes Full Control of Italian Wine Company
Constellation Brands, the world’s leading wine company, has purchased the remaining 50.1% of Ruffino from MPF International, an entity controlled by the Folonari family of Tuscany, Italy, for approximately €50 million, ($69 million). Constellation also assumes approximately €55 million, ($73 million) of debt, net of cash acquired, as part of the transaction.
Constellation now fully owns the iconic Ruffino brand and historical production facility located in close proximity to Florence. The wines continue to be produced on approximately 600 hectares of prestigious vineyards at the same Tuscan Estates of Ruffino as has been done for decades.
Among Ruffino’s most recognised brands are the coveted Ruffino Riserva Ducale, which is celebrating its 80th anniversary vintage this year, and Riserva Ducale Gold, Il Ducale, Chianti Superiore, Lumina and Modus. According to SymphonyIRI industry data for the last 52 weeks, Ruffino is experiencing approximately eight percent growth in dollar sales in the US. Ruffino’s year-to-date global sales are growing at nine percent. The brand has launched a number of new items in the last year, including the highly successful introduction of Ruffino Prosecco sparkling wine.
Of course, Constellation Brands recently disposed of its Australian and European wine business (subsequently renamed Accolade Wines) to Australian private equity firm Champ in a deal worth A$290 million. Accolade Wines incorporates virtually all Constellation’s Australian, UK, and South African brands, wineries, facilities, vineyards, and a 50% interest in Matthew Clark, the UK drinks wholesale joint venture.
