Beam Suntory Swallows London Craft Gin Distiller Sipsmith
19 Dec 2016 --- Beam Suntory, the Japanese spirits conglomerate, is to buy the London-based craft gin distiller Sipsmith, indicating the growth that drinks giants see in craft distillers and brewers. Beam Suntory, which makes whiskey, tequila, cognac and whose brands include Jim Beam, is to pay an undisclosed amount for Sipsmith, which was founded only seven years ago in a garage in London.
The co-founder of Sipsmith Sam Galsworthy said it would continue to operate out of its London-based distillery.
This is a momentous occasion for Sipsmith,” said Galsworthy. “As leaders of the gin renaissance in the UK, we have worked tirelessly to share our gin of the highest quality with discerning sippers. In this new chapter, we have found the perfect partners to take Sipsmith to all four corners of the globe, and do so whilst retaining our quality gin, astonishing team and Chiswick distillery in London.”
“The team at Beam Suntory shares our values and pursuit of excellence. Fairfax [co-founder] and I will remain fully involved in the business, working harder than ever to achieve our vision of a gin that will stand the test of time and be sipped around the world.”
“With incredible skill and passion, Sam and Fairfax have built an extraordinary super-premium gin that is synonymous with London and the utmost craftsmanship,” said Matt Shattock, chairman and CEO of Beam Suntory.
“We’re thrilled that Sam and Fairfax will continue to lead the business and make their gin true to their brand vision. We really admire what they’ve accomplished, and we’re very excited to team up with them to maximize the global potential of Sipsmith. Sipsmith’s pioneering spirit and Beam Suntory’s strong routes to market around the world are a winning combination.”
Sipsmith says that all its spirits are hand crafted and its brands include London Dry Gin and Sloe Gin.
Beam Suntory will now look to market and sell Sipsmith’s brands around the world.
Sales of gin have grown in recent years, fuelled by the growing popularity of craft distilleries.
The rise of craft distilleries has attracted the attention of big drinks companies. AB InBev has purchased a number of craft brewers including Camden Town while Pernod Ricard acquired a stake in hipster German gin brand Monkey 47.
The transaction, which is structured to give Beam Suntory a controlling interest in the business, is expected to be completed in January. Specific terms were not disclosed.
