French spirits group Rémy Cointreau has entered into exclusive negotiations to acquire a majority stake in Champagne de Telmont.
Founded in 1912, Champagne de Telmont is one of the last family-owned estates in the Champagne region and has been producing under the J. de Telmont brand for more than a century.
The acquisition would mark Rémy Cointreau’s return to the segment, which it exited in 2011 with the sale of its champagne business, Piper-Heidsieck – Compagnie Champenoise, to luxury holding company EPI in a deal that valued the company at €412m. The deal included the Piper-Heidsieck and Charles Heidsieck brands along with sparkling wine Piper Sonoma.
“When Piper Heidsieck was sold in 2011, the CEO at the time, Jean-Marie Laborde, stated that the company was leaving the champagne category 'to better come back to it in the future’”, Laetitia Delaye, head of investor relations at Rémy Cointreau, told Luxe Packaging Insight. “As our efforts to restructure and premiumize the brand failed, the group preferred to sell, but with regret, as champagne is a valuable category to develop in the on-trade distribution network.”
The group has since been looking for a champagne brand to re-enter the category. Rémy Cointreau believes that J. de Telmont offers significant growth potential, particularly internationally.
The acquisition would include the domain’s brands, stock, production resources and real estate assets, in addition to the vineyards in Champagne. The transaction is set to close by the third quarter of the 2020/21 fiscal year.