April 6, 2018
George Clooney’s tequila brand, Casamigos
,
set to join the beverage company’s brand roster.
The transaction values the tequila brand at up to $1 billion, with an initial consideration set at $700 million and a further potential $300 million based on a performance linked to earn-out over 10 years.
The founders of Casamigos–Rande Gerber, Clooney and Mike Meldman–will continue to promote the brand as well as provide leadership and vision. Casamigos will also play a complementary role alongside Tequila Don Julio.
Further details regarding the transaction were not disclosed; however, it is expected to close in the second half of 2017, subject to regulatory clearances.
“We are delighted to announce this transaction today to extend our participation in the tequila category,” says Ivan Menezes, chief executive officer, Diageo. “It supports our strategy to focus on high growth super-premium and above segments of the category. With the global
strength of Diageo, we expect to expand the reach of Casamigos to markets beyond the U.S. to chaptalize on the significant international potential of the brand. We look forward to building on the remarkable success of Casamigos to date.”Most recently, Casamigos partnered with luxury candy boutique Sugarfina for a collection of
tequila-infused candies.
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