Bacardi is buying Patrón in a liquor deal valued at $5.1 billion. This would give Bacardi one of the top selling premium tequila brands and help the company compete in the fast growing tequila market.
As a spirit, tequila has seen rapid sales growth over the last 15 years. As opposed to vodka’s anemic growth and rum, which is actually losing market share. This has major brands snapping up tequila manufactures.
One of the world’s largest distillers, Diageo, recently bought, Casamigos for $1 billion, or about $6,000 per case. That makes the Patron acquisition a bargain. Bacardi is getting the company for $2,000 a case.
The deal is also happening as drinkers shift away from cheaper brands like Jose Cuervo, and sometimes plopping down hundreds of dollars if not thousands of dollars for limited edition bottles. If this deal goes through, Bacardi would be the number two liquor seller in the U.S.
