Campari Group acquires Del Professore to cement position in premium craft vermouth and gin space

ITALY – Campari Group, an Italian alcoholic liqueur company, has solidified its position in the super-premium craft vermouth and gin categories through the acquisition of Italian peer Del Professore.

The acquisition for an undisclosed amount includes vermouth and gin brands Del Professore which, according to Campari, belong to the highest consumption spheres.

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The company added that this acquisition enriches its portfolio and generates new synergies within its cocktails, as well as, strengthening the Group’s position in the super-premium segments of vermouth and gin.

Even though financial terms were not disclosed, Campari said the deal will see one of the founders of Del Professore, Leonardo Leuci, work for the group as a brand ambassador.

The addition of Del Professore to the Campari cabinet was concurrent to the announcement of the Aperol maker’s first-half results.

The company reported net sales grew 25.6% to EUR1.26billion (US$1.28B), further boosted by the strong US dollar.

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On an organic basis, Campari’s net sales rose 19.2%, while changes in exchange rates were positive by 6.9% in the six months to 30 June.

The group said the result represented a 45% increase in the first half of 2019 or a three-year CAGR for its organic net sales of 13.2%.

First-half EBIT was up 33% at EUR288.9million and the group’s net profit rose 24.8% to EUR199.1million.

CEO Bob Kunze-Concewitz said: “Overall, we had a very strong performance in the first half, particularly the high-margin aperitifs in European markets.”

The good performance was thanks to strong underlying momentum and on-premise recovery, boosted by favorable weather conditions and pricing.”

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He noted that though volatility and uncertainty remain due to the ongoing pandemic and geopolitical tensions, the company remains positive on the underlying momentum of key brand-market combinations.

This acquisition succeeds the acquisition of French flavored liqueur brand Picon from Diageo for a sum in the region of EUR119m (US$125M), in May 2022.

Campari detailed that the bittersweet orange aperitif brand would strengthen its position in the French market.

As part of the terms of the transaction, Diageo agreed on a two-year supply agreement with Campari to continue to produce the Picon portfolio, which comprises Amer Picon Club and Amer Picon Bière variants.

France has been the group’s 4th largest individual market, accounting for 5.9% of its EUR2.17bn (US$2.46B) of sales in the full year of 2021.

Through Mergers and Acquisitions moves in the French market, Campari has been able to add Champagne Lallier, the Trois Rivières, and La Mauny rum brands to its stable in recent years.

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