Constellation Brands seeks to acquire maker of Jack Daniel's, Brown-Forman: report
24 May 2017
Constellation Brands, the owner of Corona and Svedka Vodka, had made an approach to acquire Jack Daniel's owner Brown-Forman, CNBC reported quoting people with knowledge of the matter.
According to the people, Brown-Forman was not interested in selling, but informed the board of Constellation Brands' interest, people who asked not to be named discussing private information said.
Terms of any potential offer were not available, but Brown-Forman's market cap was around $22 billion. According to one of the people, there were no ongoing talks, but Constellation continued to be interested in a potential merger.
The Brown family, fifth-generation owners of Brown-Forman, hold a majority of the voting power and had indicated historically that they did not want to sell their company.
Shares of Brown-Forman gained 12 per cent over the last week, as takeover rumours swirled.