ACCC gives go ahead for Accolade to acquire Pernod wine brands

Accolade Wines has been given the green light to buy several wine brands, including Jacob's Creek, from Pernod Richard Winemakers.

The ACCC, Australia's business regulatory body, said today that it will not oppose the proposed acquisition of Pernod Ricard Winemakers by Australian Wine HoldCo Limited, through its subsidiary Accolade.

Accolade’s acquisition relates to Pernod Ricard Winemakers’ BrandCo division, which owns and manages a portfolio of Australian, New Zealand and Spanish wines including Campo Viejo, St Hugo, Church Road, Stoneleigh, and Jacob’s Creek.

Accolade already owns major wine brands including Berri Estates, Grant Burge, Petaluma, Hardy's and St Hallett.

“Based on our investigation, we consider the proposed acquisition is unlikely to substantially lessen competition in wine processing and packaging services, and similarly is unlikely to substantially impact competition in the wholesale supply of wine,” ACCC commissioner Dr Philip Williams said in a statement.

“We considered that if the acquisition went ahead, a number of other businesses will continue to offer competing processing services and also wine,” he said.

Information and feedback gathered during the ACCC’s investigation also indicated that the acquisition is unlikely to substantially lessen competition in the market for the purchase of wine grapes.

“We found that the acquisition would not materially alter competition in grape acquisition markets where Accolade and Pernod Ricard currently overlap,” Williams said.

Concerns relating to whether Accolade, following the acquisition, could disadvantage rival winemakers’ access to processing or packaging services were also examined by the ACCC.

The ACCC concluded that Accolade is unlikely to have the incentive or ability to engage in this conduct, and that even if such conduct occurred it would be unlikely to substantially lessen competition in the wholesale supply of wine.

The ACCC heard from a range of market participants, including grape growers, competing winemakers, wine retailers, and industry bodies during its investigation.

Winemakers urged to experiment

It is rare for big wine companies to release micro brands, but Pernod Ricard Winemakers has just launched Aces & Arrows, a wine brand with a different story and winemaker behind each wine. 

The limited release includes a 2022 Riverland Vermentino (pictured), 2020 Adelaide Hills Grüner Veltliner, 2022 Central Otago Pinot Noir and 2019 Barossa Valley Grenache.

The range saw four winemakers given creative licence to experiment and craft a wine of their choosing using their favourite wine variety.

“We gave our winemaking team the opportunity to have extra creative input, play and have fun when it comes to their craft," said Dan Swincer, Pernod Ricard chief winemaker. 

"No idea was to be left unturned, and that’s how Aces & Arrows was born.

“Every bottle is a direct portal to the inner workings of the winemaker; liquid labours of love, full of heart and skill in spades. When you select a bottle of Aces & Arrows, you can be sure that every drop contains the creativity, passion, and spirit of the craftsman who made it.

“A peek behind the proverbial curtain, an all-access discovery pass to the winemaker’s playground - these are the wines that rarely see the light of day.” 

“Allira”, the creative mind behind the vermentino, sourced one of her favourite varieties from the Riverland, which she fermented in tanks then matured in oak, stirring regularly to build complexity and texture. 

“Tim”, meanwhile, has a mission is to bring lesser-known wines to the spotlight and one of his favourites is grüner veltliner. His fruit parcels from the Adelaide Hills were harvested and pressed at night to retain aromatics and fruit integrity, while 10% saw oak. 

You get the picture. 

I've asked to taste the wines and will report back shortly. 

"I am proud to be a part of this new brand born out of the passion projects of our Pernod Ricard winemakers," said Swincer. "We’ve allowed of our winemakers to push the boundaries and experiment with different varietals in capacities that hasn’t been done before.”

The Aces & Arrows range is now available to purchase from $30 RRP at Coles Liquor Group stores across Australia.