By James Atkinson
Established in Melbourne in 2007, Copack Beverage A Limited Partnership ('Copack') has manufactured Campari Australia's Wild Turkey RTDs since 2010.
"Copack's innovation capabilities have supported the introduction of a number of successful brands in Australia, including American Honey ready-to-drink launched by Gruppo Campari in 2012," Campari said.
"Moreover, Copack supports the production and supply of a number of third party reputable brands in the Australian market. With its established plant and customer base, today Copack is well-positioned to continue to expand volumes and profitability."
Campari said that after three years of operation in Australia, it had reached the necessary scale to make it viable to bring its regional manufacturing needs in-house.
"The acquisition of Copack was deemed by the Group as the preferred option compared to the cost of a possible greenfield initiative," Campari said.
Gruppo Campari will pay Copack $20 million on a cash free / debt free basis for land, buildings, production assets and working capital. It is expected that the acquisition will be completed in the third quarter of 2013. The expected payback period of the Copack acquisition is approximately six years.
Gruppo Campari revealed that in 2012 the Australian market accounted for 6.1 per cent of the company's global net sales.