Winemakers link in Aust.

Press, 5 December 1985, Page 62

Winemakers link in Aust.

NZPA-AAP Adelaide A listed Australian winemaker, Wolf Blass Wines, Ltd, has taken up a 50 per cent stake in a French cognac maker’s local subsidiary, Remy Martin Associates, Pty, Ltd. Mr Wolfgang Blass said that the move was in line with his company’s longterm strategy to diversifyinto distribution domestically and increase exports. The company recently ac-

quired the Australian Bottling Company with a total value of sAust2M (SNZ2.3OM). The acquisition, for an undisclosed sum, will be made by a Wolf Blass subsidiary, Wolf Blass International, and will see the formation of a new company, Remy, Blass and Associates Pty, Ltd. Remy Martin’s Australian company is largely involved in the distribution of the

parent company’s products, I i I I i 1 1 .1

which include Remy Martin Cognac, Krug Champagne and Cointreau. It also markets Wolf Blass products overseas. Mr Blass said turnover was expected to exceed ?AustsoM (JNZS7.SM) in the first trading year. He said an exchange of technical expertise was also planned between the two companies. “The amalgamation will be of benefit to Wolf Blass Wines, Ltd, because it will add greater independence, flexibility and control of its Sroducts right through to le retail trade,” Mr Blass said. “The decrease of overhead costs through the large rationalisation in administration and distribution and by the enlargement of product portfolio will enhance the profitability of Remy,Blass a?id Associates Pty, •Ltd.”