Diageo Completes Acquisition Of Casamigos
August 16, 2017Diageo has completed its acquisition of super-premium Tequila brand Casamigos. The deal, which was announced on June 21, includes an initial payment of $700 million, and a further $300 million in performance-based payouts over the next decade. Casamigos founders Rande Gerber, George Clooney and Mike Meldman, as well as Casamigos Spirits CEO Lee Einsidler, are remaining onboard, with the brand set to operate as a separate unit.
Launched in 2013, Casamigos offers Blanco, Reposado and Añejo expressions ($45-$55 a 750-ml.) and has posted average annual compound growth of 54% over the past two years. For 2017, it’s on track to hit 175,000-200,000 cases, with Diageo setting a five-year goal of growing Casamigos to 1 million cases. —Christina Jelski
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