Uncle Nearest Purchases Square One Vodka, Aims To Scale Up Production

Tennessee-based distiller Uncle Nearest continues to build out its portfolio, agreeing to acquire Square One Organic Spirits, a Charlottesville, Virginia-based craft vodka distiller, for an undisclosed sum. Fawn Weaver, CEO of Uncle Nearest, told SND the plan is to further develop Square One’s portfolio and scale up production, taking aim at national distribution by this summer. Uncle Nearest’s namesake whiskey brand was up an estimated 4% to 145,000 cases last year, according to Impact Databank.

Square One is a small player, with total volume of 200,000 cases and sales of $22 million since it launched two decades ago. The current portfolio consists of five vodkas—unflavored, Cucumber, Botanical, Basil, and Bergamot—all made from organic rye. “The current line, with four flavors and the core vodka, will remain intact as our Epicurean line,” said Weaver. “It is too perfect to touch. However, it is also very expensive to produce at scale.”

To position the brand for growth, Square One will introduce a new corn vodka in July. “Economies of scale will allow us to expand into all 50 markets, as our current sales force will build this brand as they have Uncle Nearest. We have great distributor partners in all 50 states, so we look forward to rolling it out swiftly,” said Weaver.

“Vodka made sense at this moment, as the most popular vodka for a group of culturally connected consumers has greatly disappointed them over the past year,” Weaver added. “While it didn’t make sense for us a year ago, changing dynamics made it make a great deal of sense by the time we got to the end of last year. If something similar happens in Tequila, you can expect me to begin looking to that category.” The move is Uncle Nearest’s second acquisition following the purchase of Cognac house Domaine Saint Martin last October. Still, Weaver says conditions will dictate whether more purchases follow, with nothing else planned at the moment.—Shane English

Tagged : Square One, Uncle Nearest

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