ENPNewswire-August 13, 2019--Constellation Brands Evolves Spirits Portfolio; Signs agreement with Heaven Hill Brands to divest Black Velvet Canadian Whisky
; Decision aligns with wine and spirits business transformation strategy
(NYSE:STZ) said in a press release it reached an agreement to sell its Black Velvet Canadian Whisky
brand as part of an ongoing "premiumization strategy."
announced that it has signed an agreement with Heaven Hill Brands to divest Black Velvet Canadian Whisky
and the brand's associated production facility in Lethbridge, Alberta, Canada, along with a subset of Canadian whisky
brands produced at that facility.
Holyrood Distillery is the notion of Canadian whisky
enthusiast Rob Carpenter who, in 2013, first had the idea for a distillery and visitor experience in central Edinburgh.
Sales of Diageo's iconic Johnnie Walker brand surged by 6% across the Atlantic last year as US and Canadian whisky
drinkers clamoured for more of the world's top-selling Scotch.
As the craft movement spreads worldwide, Canadian whisky
has become increasingly diverse.
A cautionary example might be the Bronfmans, who built their fortune in Canadian whisky
Named Chapter 2, "Noe Simple Task," mixes 8-year-old Kentucky straight rye whiskey, 13-year-old Canadian rye whisky aged in a re-charred barrel and 40-year-old Canadian whisky
aged in a once used bourbon barrel.
It's all part of a plan to maintain market dominance over competitors like Aurora and Aphria, another publicly traded grower that is expanding its own supersize greenhouse less than an hour's drive from the Detroit River, where boats and sleds filled with booze once outmaneuvered US officials to deliver contraband Canadian whisky
to American bootleggers.
consumption was up 2.2% in 2016, according to the 2017 Liquor Handbook, reaching 16.2 million nine-liter cases.
Products seen as no longer trendy, such as tequila and Canadian whisky
, also recorded volume sales declines.
Dark Batch actually capitalizes on two trends: At the same time American drinkers are developing a taste for rye, they also have become increasingly interested in Canadian whisky
(which Canadians -- like Scots -- spell without the "e'').