Pernod Ricard says it will not be shifting control of its New Zealand operations to Australia, despite Monday's announcement of the sale of a dozen wine brands and assets for $88 million to a Lion Nathan-led consortium.
Asked if the divestment of the labels pointed to a relocation of the global wine and spirits giant's New Zealand operations to Sydney, Pernod Ricard New Zealand managing director Fabian Partigliani said the headquarters will remain in Auckland.
After a review of the New Zealand business, the company had changed its wine strategy to focus on core Pernod Ricard says it will not be shifting control of its New Zealand operations to Australia, despite Monday's announcement of the sale of a dozen wine brands and assets for $88 million to a Lion Nathan-led consortium.
Asked if the divestment of the labels pointed to a relocation of the global wine and spirits giant's New Zealand operations to Sydney, Pernod Ricard New Zealand managing director Fabian Partigliani said the headquarters will remain in Auckland.
After a review of the New Zealand business, the company had changed its wine strategy to focus on core brands and streamline its portfolio and production footprint.
"The brands ... are those we believe do not fit with our strategy to focus on our core strategic brands: Brancott Estate [formerly Montana], Stoneleigh and Church Road," Mr Partigliani said.
"Other key New Zealand wine brands such as Boundary Vineyards, Camshorn, Coupers Shed, Deutz and Triplebank will continue to be a critical part of our New Zealand wine portfolio."
Lion Nathan teamed up with Indevin, New Zealand's largest independent contracting winemakers, to buy Lindauer and several other wine brands from Gisborne and Hawke's Bay.
The partnership will take over the Gisborne Winery, all company-owned vineyards in the Gisborne region and the Twin Rivers vineyard in Hawke's Bay.
Overseas Investment Office approval is needed as Lion Nathan is owned by Japanese food and beverage giant Kirin.
The sale includes five brands in the company's sparkling wine portfolio – Aquila, Bernadino, Chardon, Lindauer and Verde – and seven in its still wine portfolio – Bensen Block, Corbans, Huntaway, Jackman Ridge, Riverlands, Saints and Timara.
"Following the sale ... [we] will remain New Zealand's No1 wine company," Pernod's Mr Partigliani said.
Pernod Ricard NZ Companies Office accounts show the company lifted net profits to almost $29m in the year to June 2009.
Pernod Ricard NZ had revenues of $347m in the year to June 2009, down slightly on the previous year's $361m. Pre-tax profit was $39.9m, up from $34m in the previous year. After tax profit was $28.8m, up from $21.2m previously
The deal involves an exclusive distribution arrangement in New Zealand with Pernod Ricard for the 12 brands effective November 1, pending completion of the sale.
Lion Nathan did not return calls yesterday, but managing director Peter Kean said earlier that Lindauer was an iconic New Zealand brand that would be an "excellent fit" for its wine portfolio.brands and streamline its portfolio and production footprint.
"The brands ... are those we believe do not fit with our strategy to focus on our core strategic brands: Brancott Estate [formerly Montana], Stoneleigh and Church Road," Mr Partigliani said.
"Other key New Zealand wine brands such as Boundary Vineyards, Camshorn, Coupers Shed, Deutz and Triplebank will continue to be a critical part of our New Zealand wine portfolio."
Lion Nathan teamed up with Indevin, New Zealand's largest independent contracting winemakers, to buy Lindauer and several other wine brands from Gisborne and Hawke's Bay.
The partnership will take over the Gisborne Winery, all company-owned vineyards in the Gisborne region and the Twin Rivers vineyard in Hawke's Bay.
Overseas Investment Office approval is needed as Lion Nathan is owned by Japanese food and beverage giant Kirin.
The sale includes five brands in the company's sparkling wine portfolio – Aquila, Bernadino, Chardon, Lindauer and Verde – and seven in its still wine portfolio – Bensen Block, Corbans, Huntaway, Jackman Ridge, Riverlands, Saints and Timara.
"Following the sale ... [we] will remain New Zealand's No1 wine company," Pernod's Mr Partigliani said.
Pernod Ricard NZ Companies Office accounts show the company lifted net profits to almost $29m in the year to June 2009.
Pernod Ricard NZ had revenues of $347m in the year to June 2009, down slightly on the previous year's $361m. Pre-tax profit was $39.9m, up from $34m in the previous year. After tax profit was $28.8m, up from $21.2m previously
The deal involves an exclusive distribution arrangement in New Zealand with Pernod Ricard for the 12 brands effective November 1, pending completion of the sale.
Lion Nathan did not return calls yesterday, but managing director Peter Kean said earlier that Lindauer was an iconic New Zealand brand that would be an "excellent fit" for its wine portfolio.
