Seppeltsfield has invested in Australian Whisky Holdings to drive its expansion into the Chinese market.
Australian Whisky announced that under a convertible note, Barossa wine producer Seppeltsfield has converted loans to equity, forming a strategic investment in the whisky company.
Seppeltsfield, one of Australia’s oldest wineries was founded in 1851 by Joseph Ernst Seppelt. Both the chairman of Seppeltsfield, Randolph Bowen, and the largest shareholder and Managing Director, Warren Randall, have a great interest in the development of the Australian whisky industry.
Last year, Randall noted to the Australian Financial Review: “Oh, and I’ve also just bought a sizeable chunk of Australian Whisky Holdings (who) own or part-own four of Tasmania’s distilleries: Nant, Lark Overeem and Redlands. Which means they – well, we, I suppose – now produce about a third of total Tasmanian whisky.”
Based in South Australia, Seppeltsfield has contracts in place for the distribution of its products into China, providing working synergies with Australian Whisky for its expansion plans into the Chinese market.
Australian Whisky noted in a statement: “Seppeltsfield will be exploring these synergies with the aim of expanding the company’s international distribution channels. As an established supplier of a high quality aged sherry and port barrels to the whisky industry, further synergies are achieved between Australian Whisky and Seppeltsfield as these barrels are important to the production and ageing of single malt whisky.:
Warren Randall commented: “Australian Whisky has a great product range across their brands and we are delighted to have a strategic investment in the Company. We look forward to exploring the working relationship between the two companies and assisting in expanding Australian Whisky’s international distribution channels.”
Australian Whisky CEO Chris Malcom added: “Seppeltsfield’s strategic investment into Australian Whisky not only signifies the strength of the Australian Whisky business, but importantly also provides working synergies between the two companies. We greatly appreciate the support and look forward working with Seppeltsfield to pursue new opportunities.”
