CHAMP PE to make partial exit from Accolade Wines

Conviviality said in a regulatory filing that it would pay GBP198.4 million ($305.2 million) in cash for Matthew Clark, which translates into an enterprise valuation of GBP200 million. Accolade - which will continue to be a major supplier to Matthew Clark after the sale - owns the business alongside UK bar operator Punch Taverns.

Matthew Clark delivers alcohol and soft drinks to approximately 17,000 pubs, bars, hotels and restaurants. It generated revenue of GBP811.2 million and EBITDA of GBP25.3 million for the year ended February 2015. The business is one of numerous assets under the Accolade umbrella.

CHAMP bought an 80% stake in the company for $290 million in 2011 from US-based Constellation Brands. Having acquired Australia's largest win producer BRL Hardy for $1.11 billion in 2003, Constellation sold its Australian and European interests due to financial difficulties at parent level. It retained a 20% holding in the company, which was renamed Accolade.

Most of the company's production and exports came out of Australia, with a handful of operations in the US and South Africa, while there were significant sales into the UK and mainland Europe. CHAMP's objective was to create a leader in new world wines, and this has led to a string of bolt-on acquisitions.

Supported by a financing provided by GE Capital, Accolade's Australia, UK and South Africa portfolio has been bolstered by brands in the US and New Zealand, as well as the purchase of a distribution business in China. The company is now looking at potential targets in Latin America.

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• Topics
• Consumer
• Australasia
• Europe
• Exits
• Australia
• Exit
• CHAMP Private Equity
• Consumer
• Europe