Archer Capital buys Foster’s wine assets

Archer Capital has agreed to buy five wine-related businesses across Australia, New Zealand and Japan from Melbourne-based Foster’s Group for an estimated A$200 million.

Archer Capital, an Australian private equity firm, has agreed to acquire Cellarmaster Wines and Vinpac International in Australia; Cardmember Wines and Carters in New Zealand; and Wine Buzz in Japan.

In total, the transaction is estimated to be worth A$200 million ($167 million).

Archer has agreed to buy the wine marketing and contract bottling businesses from Melbourne-based wine and beer maker Foster’s Group, and is also acquiring bottling equipment from Foster’s existing packaging in Melbourne. Fosters has decided to close the Airport West facility and relocate production to other sites and third parties.
In August last year, Foster’s announced plans to divest the wine club and services group. The Australia-listed beverage producer has since split up the single international business division for sale to buyers across Australia, Europe, and the US to focus on its core business.

There are more assets in Foster’s European services business, for which there has apparently been “strong interest”.