This April, a consortium of international institutional investors – Australian Wine Holdco Limited (AWL) – announced the creation of Vinarchy, a new global wine company. The company combined the global businesses of Accolade Wines with Pernod Ricard’s Australian, New Zealand and Spanish wine assets to create one of the world’s largest specialist wine companies.
“Vinarchy blends the best of both these historic wine businesses, so we felt it was important to unify the new company under a new name and identity,” says James Reid, General Manager, Bulk Sourcing and South Africa Operations at Vinarchy. “Vin references wine, and Archy comes from the word that means leadership in Ancient Greek. In short, it means wine leadership and reflects our mission to redefine wine through innovation.”
Local footprint
The company has piqued the interest of South African wine lovers because the local brands Flagstone and Kumala will now fall under its umbrella. However, since these brands have been part of the Accolade Wines portfolio since 2008, they’re technically not a new acquisition for Vinarchy.
Flagstone has recently made waves as the winner of the SA Revelation trophy at the Sauvignon Selection by Concours Mondial de Bruxelles for the top South African Sauvignon Blanc. The winery also excelled at last year’s Veritas Awards as Best Achiever in the class for ten wines or fewer, while raking in four Double Gold medals.
Other major wine brands included in the acquisition are Jacob’s Creek (one of the most valuable wine brands in the world) and St Hugo in Australia, Brancott Estate and Stoneleigh in New Zealand, and top Rioja wine brand Campo Viejo in Spain. These join Accolade’s portfolio of brands, which include Hardys, Grant Burge, and Mud House, along with the South African brands.
Global reach
Vinarchy will be one of the world’s largest specialist wine companies, comprising 11 wineries across four countries, including South Africa, Australia, New Zealand and Spain. Its global sourcing footprint spans premium grape growing regions in Italy, Argentina, France, the United States, and Chile.
“Through our global distribution network, we are incredibly proud to share our wines in almost every corner of the world,” James says. “Our portfolio has something to offer everyone and every hip pocket, from premium fine wine to some of the world’s most popular global brands.”
But there’s no danger of getting lost in the crowd. Each of Vinarchy’s brands and wineries will keep their local character and still tell their own distinctive story. “Flagstone, for example, has its own special history as a former De Beers Dynamite factory, today blending the site’s industrial heritage with the art of winemaking,” James says. “Our brands will continue to have their own identities under Vinarchy, with the benefit of being part of a global network.”
This means that the winemaking remains safely in the hands of chief winemaker Gerhard Swart, who will continue to guide the style and direction of the wines, but the creation of Vinarchy gives Flagstone greater access to a global network and a direct line to winemaking colleagues in Australia, New Zealand and Spain.
“South African wine is an important category for our retail customers, particularly in Europe and the UK, and Flagstone and Kumala cater to that market for our customers in those regions,” James says. “Export remains our core focus for Kumala and Flagstone, but the South African domestic market remains a growth opportunity, particularly for our South African portfolio and for some of our greater international portfolio such as Da Luca Prosecco and Campo Viejo.”
“Both Accolade Wines and Pernod Ricard Winemakers have a long, proud history. Vinarchy builds on that by unifying our efforts, giving us the scale to invest behind our brands and connect with consumers in new and different ways. We’re proud to be a specialist wine company with a focus on growing the category.”
