Brown-Forman Corp. has reached an agreement to sell the Finlandia brand of vodka to Coca-Cola HBC AG for $220 million, according to a release distributed by Brown-Forman. The deal is expected to close in the second half of this year.
Brown-Forman acquired Finlandia in multiple phases from what was then Altia Corp., gaining full ownership in 2004. Coca-Cola HBC AG is a Switzerland-based CPG business and strategic bottling partner of The Coca-Cola Co., with distribution in Ireland, central and eastern Europe, the Middle East and Nigeria. The company’s web site states that it also partners with beverage businesses such as Monster Energy, Edrington, Brown-Forman and Campari to sell their products. In addition to a large portfolio of beverages, Coca-Cola HBC AG sells dairy and snack products to consumers in many of those markets.
Zoran Bogdanovic, CEO of Coca-Cola HBC AG said in the release that the Finlandia acquisition supports the company’s mixability strategy with its core, non-alcoholic, ready-to-drink portfolio.