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Italian spirits giant Campari Group has acquired all outstanding shares in Trans Beverages, a South Korean spirits importer and marketer.
Following the acquisition, Trans Beverages has officially changed its name to Campari Korea Co., Limited and now operates as a wholly owned subsidiary of the Italian company.
The acquisition follows Campari's original 2018 investment in Trans Beverages, which was initially established as a joint venture with local Korean entrepreneurs.
Since its inception, the company has grown "significantly" and increased its market share in the "competitive" Korean spirits market, Campari Group said in a statement announcing the deal.
Campari added that South Korea has emerged as a “key country” for several of its brands, such as Wild Turkey Bourbon, The Glen Grant Single Malt and small batch bourbon Russell’s Reserve.
Commenting on the deal, Campari APAC managing director Matthijs Kramer said: “The acquisition of the remaining shares reflects our strong belief in the long-term growth potential of the Korean market for our brands.
“We will continue to honour the country's rich culture and deliver on meeting the refined tastes of our Korean consumers.”
Campari Korea managing director HoJoon Ryu said the company’s team and product portfolio “will continue to create value and deliver on the Campari Group's long-term ambitions in Korea. We thank Campari for its continued confidence and trust in the Korean business.”
The acquisition comes on the heels of Campari Group's other investment this year.
In September, it acquired a 14.6% stake in Capevin Holdings Proprietary, the holding company for CVH Spirits, for £69.9m ($92.3m).
CVH Spirits owns Scotch whisky brands such as Bunnahabhain, Tobermory, Scottish Leader and Black Bottle.
In conjunction with the stake acquisition, the Aperol maker appointed a board member to CVH to “protect” its minority position.
Earlier this month, Campari Group appointed ex-William Grant chief executive Simon Hunt as its new CEO.
Hunt will take the helm in January, succeeding Matteo Fantacchiotti who stepped down after five months as Campari CEO in September.
For the first nine months of 2024, Campari Group posted net sales of €2.27bn ($2.81bn), up 3.4% from €2.2bn in 2023.
However, EBITDA declined by 2.1% to €559.8m from €571.9m in the same period of last year.
Profit before tax also fell by 5% to €423m from €445.2m in 2023.
The group said its nine-month sales were hit by “a combination of concomitant factors”.
In the US, the group reported “persisting challenges in selected categories.”