Treasury Wine Estates to acquire majority stake in China’s Stone & Moon Winery 

CHINA – Australian luxury wine producer Treasury Wine Estates (TWE) has announced an agreement to acquire a 75 percent equity stake in China-based Ningxia Stone & Moon Winery Co. Ltd. for 130 million yuan (US$17.9 million).  

The deal marks a significant milestone in TWE’s strategy to expand its footprint in China’s wine industry. 

The acquisition includes a 43-hectare luxury vineyard, a state-of-the-art winery with capacity for future expansion, and a cellar door.  

TWE plans to transform the site into a local brand hub for its renowned Penfolds label, further solidifying its presence in the Chinese market.  

The transaction is expected to close in the first half of 2025, with TWE holding the option to purchase the remaining 25% equity stake after five years. 

The Stone & Moon Winery produces several grape varieties, including cabernet sauvignon and marselan. Some of its grapes are already sourced by Penfolds for its China country-of-origin wine portfolio.  

The Stone & Moon Winery is expected to play an important role in Penfolds multi-country of origin strategy, which features an unrivaled portfolio of globally sourced luxury wines from some renowned winemaking regions including Australia, the United States, France and most recently China. 

“Through the acquisition, we will further strengthen our commitment to and investment in the China wine industry, where Penfolds continues to be a highly admired and sought-after brand,” said Tim Ford, CEO of TWE.  

He added that Penfolds’ China-sourced portfolio has resonated strongly with local consumers, and the new venture is expected to sustain this growth momentum. 

TWE’s financial performance has shown resilience, with the company reporting double-digit net sales revenue growth in the fiscal first quarter of 2025 compared to the previous year.  

The Penfolds brand, in particular, has shown strong momentum in both Asia and Australia, with the company forecasting earnings before interest and taxes (EBIT) of US$780 million to US$810 million for the full fiscal year. 

In its fiscal 2024 results, TWE recorded a 13 percent increase, with group’s earnings before interest and tax (EBIT) rising 12.8 percent to US$658.1 million. 

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