KWV gets into rum with Red Heart acquisition
Wine and spirits group KWV's acquisition of Red Heart rum has met with approval from SA's competition authority, given that this would represent the Laborie and Wild Africa Cream owner's only rum product.The Competition Commission, which acts as a recommending body, said in a statement on Wednesday that KWV's acquisition of Red Heart is unlikely to substantially lessen or prevent competition in any market, adding that there are also no public interest considerations.
KWV operates three distilleries and one packing plant with the function of distilling spirits that are derived from grapes and carries out the maturation, blending, and bottling processes. KWV also has a wine cellar that is dedicated to crushing grapes and receives bulk wine for maturation and blending into different wine formats. While KWV sells, markets, and distributes spirits, it does not sell, market, import, produce or distribute any rum products.
KWV was formed in 1918, with its brands also including Ponchos tequila and Roodepoort wines. No figure was provided for the acquisition of the rum brand from Pernod Ricard SA, part of France-based Pernod Ricard.
Pernod Ricard SA imports, produces, markets, and distributes alcohol beverages in South Africa and internationally, focusing on premium and luxury spirts and wines. Among its brands, over 200 of them are Absolut vodka, Ballantine's scotch whisky, Malibu rum, and Jameson Irish whisky.
-FIN24