Napier winery on market in consolidation

Pernod Ricard New Zealand may sell some of its Hawke's Bay vineyards along with its Napier winery complex, says Bayleys Hawke's Bay commercial and industrial salesman Rollo Vavasour.

The Napier winery, formerly Corbans, is for sale following the announcement of its closure in June, which Pernod Ricard said would affect 13 full-time employees.

The land and plant has a capital valuation of $8.05 million.

Mr Vavasour said the winery would appeal to companies seeking a turn-key operation.

"The scale and quality of this winery for sale would be attractive to large local producers or multi-nationals," he said.

Pernod Ricard NZ is consolidating its Hawke's Bay operation at its Church Rd winery.

In 2010 the firm sold some of its Gisborne and Hawke's Bay wine brands and assets to Indevin and its joint venture partner Lion Nathan NZ for $88 million.

The sale included the sparkling brands Aquila, Bernadino, Chardon, Lindauer and Verde and seven brands in Pernod Ricard's still wine portfolio, including Bensen Block, Corbans, Huntaway, Jackman Ridge, Riverlands, Saints and Timara.

The winery for sale has capacity to crush and ferment 10,000 tonnes of grapes per harvest, along with storage capacity for 8.3 million litres of wine.

The plant, in the industrial precinct of Pandora, sits on 3.52 hectares of flat land zoned for heavy industrial use and has its own waste treatment facility.

"The building and plant infrastructure within the location is vast, totalling several thousand square metres, and all located within electrified and monitored security perimeter fencing, typical of such a large plant handling such a valuable commodity as wine," Mr Vavasour said.

"The winery was originally established in 1986, and in the late 1990s/early 2000s was expanded considerably to upgrade the grape receiving area, waste treatment plant, boiler house and barrel rooms.

"In 2005 further development saw the expansion of the staff amenities, and in 2007 the engineering workshops, administration block and laboratory buildings were built to support the considerable growth which the operation had experienced."

The winery came into Pernod Ricard's possession following the French company's acquisition of Allied Domecq, its British competitor, in 2005.

In 2001 Allied Domecq acquired Montana, which had in turn acquired Corbans in 2000.

Pernod Ricard is the second largest drinks company in the world. Its brands included Jacob's Creek, Brancott Estate (formerly Montana), Absolut Vodka, Ricard pastis, Jameson Irish Whiskey, Ballantine's, Chivas Regal, Royal Salute and The Glenlivet Scotch whiskies, Martell cognac, Havana Club rum, Beefeater gin, Kahlua and Malibu liqueurs, Mumm and Perrier-Jouet champagnes.