Bacardi Dismisses $100 Million Lawsuit Brought By Partner StillhouseMarch 28, 2019
Stillhouse Spirits, known for its line of whiskies and vodka packaged in oversized flask-shaped cans, is taking aim at minority investor Bacardi in a new lawsuit, with the family-owned spirits giant strongly denying any wrongdoing.
The suit, brought by Stillhouse founder and CEO Brad Beckerman, alleges that Bacardi—which took a minority stake in Stillhouse four years ago—is now denying further funding and attempting to fully acquire the brand at what Beckerman calls “substantially below market value.” Stillhouse says it shipped 50,000 cases last year and is on pace to ship 70,000 cases in 2019.
Bacardi retorts, “Despite our substantial backing, management repeatedly failed to deliver on the company’s business plan and Stillhouse is now on the verge of bankruptcy … For nearly six months, we have been diligently working with the other shareholders to find a solution that would save the business. It is very unfortunate that Mr. Beckerman would jeopardize Stillhouse’s ability to continue as a going concern by unilaterally filing this frivolous lawsuit just as we were nearing a mutually beneficial resolution. The complaint is filled with inaccuracies and misstatements and we look forward to providing the entire story at the appropriate time. We intend to defend this action vigorously.”—Danny SullivanSubscribe to Shanken News Daily’s Email Newsletter, delivered to your inbox each morning.