Southern Glazer’s Wine and Spirits Is Born As Mega-Deal Is CompletedJune 30, 2016
Southern Wine & Spirits of America and Glazer’s Inc. have closed on their merger deal, officially creating Southern Glazer’s Wine and Spirits, LLC. The two companies first unveiled the agreement on January 11.
The new Southern Glazer’s will be the U.S. market’s largest wine and spirits distributor by far, distributing more than 150 million cases of wine and spirits annually, employing more than 20,000 people and operating in 44 states plus the District of Columbia, the Caribbean, and Canada. Total revenues are at more than $15 billion.
“We look forward to building on our combined track record in providing our supplier and customer partners with exceptional service and valuable insights—from Canada to the Caribbean, and coast to coast,” said Southern Glazer’s chairman Harvey Chaplin in a statement. Executive vice chairman Bennett Glazer added that “bringing together the best of our organizations has been a valuable process that will continue to clearly differentiate us from the competition.”
“We like to say that ‘big is the new small,’ meaning that Southern Glazer’s new structures, resources, tools, and capabilities will serve customers and suppliers in more tailored and impactful ways than ever before,” said Wayne Chaplin, CEO of the newly merged organization. “We’re on track to fulfill our mission to be the world’s preeminent selling, logistics, and data insights company for alcoholic beverages,” added Southern Glazer’s president Shelly Stein.
Since the deal was first announced, Southern and Glazer’s have worked to eliminate what little overlap they had in markets across the U.S. In March, Glazer’s said it would close its Stoller Wholesale operation in Illinois, where Southern was already one of the middle tier’s biggest players. Then, last week, Glazer’s sold its interest in Arizona’s Alliance Beverage to Breakthru Beverage Group (Southern is one of Arizona’s leading distributors), while Glazer’s purchased Breakthru’s minority stakes in Alliance’s Alabama and Mississippi brokerages. Glazer’s is in the process of combining Alliance’s operations in those two markets with Southern’s to create Southern Glazer’s Wine and Spirits of Gulf Coast, LLC, which Southern Glazer’s says will be the largest brokerage operation in both states. —David FlemingSubscribe to Shanken News Daily’s Email Newsletter, delivered to your inbox each morning.