Private Equity Firm Agrees to Acquire The Duckhorn Portfolio Wine Company

Private-equity firm Butterfly Equity has entered into a definitive agreement to acquire wine company The Duckhorn Portfolio in an all-cash transaction that values Duckhorn at approximately $1.95 billion, according to a release.

Duckhorn’s portfolio of brands includes Duckhorn Vineyards, Decoy, Sonoma-Cutrer and Kosta Browne. The company was established in 1976, and it will become a privately held company upon completion of the deal, ceasing to trade on the stock market after the transaction closes. It will also continue to be headquartered in St. Helena, Calif., and will operate 11 winery brands under The Duckhorn Portfolio name.

Duckhorn stockholders will receive $11.10 per share in cash under terms of the agreement. Duckhorn’s board of directors has unanimously approved the deal, which is expected to close this winter, subject to customary closing conditions — including approval by Duckhorn stockholders. Duckhorn and its advisors also are permitted to solicit, consider and negotiate alternative acquisition proposals from third parties until 11:59 p.m. (Pacific) on Nov. 20, 2024.

Butterfly was founded in 2016 with an approach of investing in the “seed-to-fork” food system. Its other food-related investments include Milk Specialties Global, Chosen Foods, MaryRuth Organics, Orgain and Bolthouse Fresh Foods, among others.