Following a familiar pattern, Aviation Gin’s mercurial rise reached a zenith last night. Spirits titan Diageo announced the acquisition of Aviation parent, Davos Brands for a deal worth $335m immediately and up to $275m more in performance based incentives over the next decade.
Many readers may be wondering, “What does that mean for Aviation’s part-owner and celebrity spokesperson, Ryan Reynolds?” Fear not, the Green Lantern actor will stay onboard as a stakeholder and public face for the brand moving forward.
“A little over two years ago, I became an owner of Aviation Gin because I love the taste of Aviation more than any other spirit. What I didn’t expect was the sheer creative joy learning a new industry would bring. Growing the brand with my company, Maximum Effort Marketing, has been among the most fulfilling projects I’ve ever been involved with,” said Reynolds in a statement. “I want to thank Diageo for their incredible team and passion. We’re so excited for the next chapter of Aviation Gin, which, I promise, will require just as little reading.”
In addition to the Hollywood endorsed gin, Diageo will also pick up some brands in the fast growing agave and sake markets. The arrangement calls for Davos’ other lines, Astral Tequila, Sombra Mezcal and TYKU Sake, to be swallowed up by Diageo as well.
“The acquisition of Aviation American Gin and the Davos Brands portfolio is in line with our strategy to acquire high growth brands with attractive margins that support premiumisation,” commented Diageo CEO Ivan Menezes in a release. “We are confident that Aviation American Gin will continue to shape and drive the growth of super premium gin in North America and we are looking forward to working with Ryan Reynolds and the Davos Brands team to accelerate future growth.”
Diageo’s investor statement explained that deal will be financed with cash on hand is expected tone complete by the close of 2020.