Grimsby, Ontario, July 2, 2008 - Andrew Peller Limited announced today that it had acquired 100% of the common shares of World Vintners Inc., a producer and seller of high quality consumer-made wine kits.
WVI's sales for its most recently-completed financial year ended July 31, 2007 were approximately $12.0 million. The purchase price was approximately $9.0 million.
The acquisition brings to the Company a dedicated network of 75 franchised wine-on-premise and retail outlets under the Wine Kitz brand name. The Company remains committed to WVI's franchisees and will invest in the network to enhance its marketing, service, and support. Franchisees will benefit from the Company's market leadership, financial strength and reputation for quality and service. WVI also produces the popular Heron Bay brand sold through independent wine-on-premise and retail outlets across Canada.
"This acquisition significantly strengthens our consumer-made wine business, and enhances our presence in a number of markets," commented John Peller, President and CEO.
"The addition of World Vintners complements our Vinceco and Winexpert businesses and strengthens our position as Canada's largest producer and supplier of consumer-made wines. We expect this acquisition will generate enhanced business opportunities as well as economies of scale and synergies to increase our profitability," added Rob Van Wely, President of the Company's consumer-made wine business.
Andrew Peller Limited is a leading producer and marketer of quality wines in Canada. With wineries in British Columbia, Ontario and Nova Scotia, the Company markets wines produced from grapes grown in Ontario's Niagara Peninsula, British Columbia's Okanagan and Similkameen Valleys and vineyards around the world. The Company's award-winning premium and ultra-premium brands include Peller Estates, Trius, Hillebrand, Thirty Bench, Croc Crossing, XOXO, Sandhill, Copper Moon, Calona Vineyards Artist Series and Red Rooster VQA wines. Complementing these premium brands are a number of popular priced products including Hochtaler, Domaine D'Or, Schloss Laderheim, Royal and Sommet. The Company also markets craft beer under the Granville Island brand. In addition, the Company owns and operates Vineyards Estate Wines and WineCountry Vintners, independent wine retailers in Ontario with more than 100 well-positioned retail locations. Andrew Peller Limited common shares trade on the Toronto Stock Exchange.
With a focus on serving the needs of all wine consumers, the Company produces and markets consumer wine making products through Winexpert, Vineco International Products and Wine Kitz. Its broad range of high-quality brands includes Selection, Vintner's Reserve, World Vineyard, KenRidge, California Connoisseur, Island Mist, Niagara Mist and Heron Bay.