Family-owned wine company Villa Maria has bought smaller private firm Thornbury Wines for an undisclosed sum in order to increase its vineyard holdings in Marlborough.
Thornbury, which has its headquarters in Tauranga, has 11 contract growers in Marlborough and three vineyards on Rapaura Rd, Gifford Rd and Shandon Rd.
Earlier
this year it was declined resource consent to operate a 1800 tonne winery in the Waihopai Valley, but director Steve Bird said it had now obtained consent by negotiation.
The winery plan was part of a two-year strategic direction put in place by Thornbury Wines' shareholders, Bruce McCutcheon and Bird.
However, Bird said McCutcheon decided to leave the business when the resource consent was initially declined, which left him with little choice but to sell Thornbury.
Bird, who is also Thornbury's winemaker, said the firm had received various offers.
Villa Maria's was an "attractive" one in terms of its economics and allowing for the long-term stability of Thornbury's brands, he said.
Villa Maria managing director George Fistonich said the strategic position of Thornbury's contract growers and company vineyards was behind the purchase.
The vineyards will add about 1200 tonnes of extra fruit, mainly sauvignon blanc, for Villa Maria to process. Villa Maria has wineries in Auckland and Marlborough.
About 90 per cent of Thornbury's product is exported.
Villa Maria, New Zealand's largest privately owned wine company, has signed up all of Thornbury's growers and will take on its three viticulture staff.
Meanwhile, Nautilus Estate has sold its shares in Marlborough's Rapaura Vintners to continue developing its own winery in the region.
The remaining shareholders in Rapaura Vintners, Babich Wines, Goldwater Estate and Matua Valley Wines, have consolidated their holdings to one third each.
Rapaura Vintners was established in 1995 and recently expanded its capacity to 8000 tonnes.
Nautilus, which is owned by Australian wine marketing company Negociants, was a founding shareholder in the contract winemaking, bottling, and warehouse facility.
However, the estate built a pinot noir winery five years ago in Marlborough and has now started work to include white wine facilities.
General manager Clive Weston said Nautilus hoped to have the 1000 tonne winery completed by Christmas but would still use Rapaura Vintners' bottling line.
- NZPA
