Diageo PLC said Monday that it has acquired Davos Brands LLC and Aviation American Gin LLC for a total consideration of $610 million.
The deal includes an initial payment of $335 million and potential for up to $275 million additional based on Aviation’s performance over the next decade. It will be funded through existing cash and is expected to close before the end of 2020.
“Deadpool” actor Ryan Reynolds is one of the owners of Aviation American Gin; he’ll retain a stake in the brand. Based in New York, other brands in the Davos lineup include Astral Tequila and TYKU Sake.
Aviation is the second-largest “super premium” gin brand in the U.S., according to Diageo
. “Super premium” gin grew at a compound annual growth rate of 18.5% between 2014 and 2019.
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