Southern Premium Vineyards (SPV) is set to acquire 35 vineyards from Casella Family Brands as part of a long-term strategic partnership.
SPV, which is owned by the Canadian Public Sector Pension Investment Board (PSP Investments), will acquire 7215ha of vineyards from Casella across South Australia and NSW along with its associated water entitlements, plant and equipment.
SPV’s director Nick Gill said the strategy is to offer wine companies a “multi-regional grape supply solution” for their wine grape sourcing, which currently includes 460 hectares of vineyards in the state.
John Casella, CEO of Casella Family Brands, said the partnership will help deliver the quality and consistency of grapes required while safeguarding and preserving the vineyards and ensuring the well-being of its employees.
Marc Drouin, senior MD for real assets and global head of natural resources investments at PSP Investments, said the acquisition marks a “cornerstone investment” for both companies.
“Our commitment to sustainable farming combined with our long-term investment horizon allows PSP Investments to lever Australia’s unique global competitive position for its quality wine grapes.”
Proceeds from the sale will be reinvested into the Casella business to grow it both internationally and in Australia. Besides its own labels, Casella Family Brands also owns Peter Lehmann Wines.
- Further reading: Casella to pick up Coca-Cola interest in Australian Beer Co
