Treasury Wine Estates has continued its strategy of acquiring vineyards outside of its Australian base for flagship brand Penfolds.
The group has completed the majority-control purchase of Château Lanessan in Bordeaux, a transaction that "doubles the existing production capacity for Penfolds in France". The 144-year-old estate comprises 390 hectares, which includes 80 hectares of Haut-Médoc-appellation vineyards that are given to Cabernet Sauvignon, Merlot and Petit Verdot.
While further details were not disclosed, in August, Treasury valued a near-80% stake purchase at around US$42m.
Treasury has looked beyond Australia for Penfolds in recent years, due in part to the 2020 introduction by authorities in China - at that time the brand's biggest market - of heavy tariffs on wine imports from the country. In August, the company unveiled this year's 'The Penfolds Collection' series, which included a debut French wine.
Group sales in the 12 months to the end of June came in 4.7% down on the corresponding period a year earlier.
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