Campari Group has decided to sell its production facility in Victoria, Australia to local canning and bottling business Garage Beverage Manufacturing.
The deal, financial details of which were not disclosed, will see Garage Beverages continue to manufacture Campari Australia’s RTD portfolio, which includes extensions of bourbon brand Wild Turkey, at the site in Derrimut. The MD of the unit, Jacopo Borsa, said the sale forms part of a broader strategy to increase focus on the sales and marketing of the company’s flagship brands, which includes Aperol and Espolòn.
The divestment is set to complete “towards the middle of the year”, Campari said in a statement to Global Drinks Intel.
“We are pleased to partner with Garage Beverages, a local manufacturer with extensive manufacturing experience and a strong commitment to excellence,” said Borsa. “We look forward to working with Garage Beverages over the coming months to ensure a smooth transition.”
In Campari Group’s recently released full-year results, the Australian market – which accounted for 3.8% of total group sales – saw its sales decline by 5.5% on 2023. The company blamed the performance on “pressure on the Wild Turkey portfolio and (a) decrease in co-packing activity”.
“Excluding co-packing,” the group noted, “Australia recorded a flat performance.”
