Mighty Craft has announced that it is taking over the distribution of Adelaide Hills Distillery products from SouthTrade International on 10 November 2021. The move will see Mighty Craft exclusively distribute all products including 78 Degrees Gin, 78 Degrees RTD mixer range and 78 Degrees Whiskey.
This adds 78 Degrees to the Mighty Craft spirits portfolio, which currently contains Kangaroo Island Spirits, Seven Seasons, Brogan’s Way and the soon to be launched premium Hidden Lake Tasmanian Whisky brand.
Mighty Craft Managing Director Mark Haysman said that strategically it made sense to bring distribution back in-house soon after the acquisition to maximise the available synergies and accelerate growth.
“We see great opportunity in transitioning the sales and distribution of 78 Degrees back into the Mighty Craft team from mid-November,” said Haysman
“One of the key strategic drivers of the acquisition in July was our ability to manage sales and distribution directly, and we believe bringing the overall product portfolio in-house will drive our growth ambition and profitability over the coming years.”
Haysman also thanked SouthTrade for its work on the brand, saying: “SouthTrade has done a fantastic job to grow this business over the last three years, and we sincerely thank Ray Noble and the team for the growth they have driven and the productive discussions regarding bringing it back in-house.”
SouthTrade and Mighty Craft have entered into a confidential deed of settlement, which includes arrangements for the purchase of any 78 Degrees stock that may remain as at mid-November 2021 when the transition occurs.
Mighty Craft has already integrated both Mismatch Brewing Company and Hills Cider into the overall portfolio and from early October, the sales team began selling and distributing the portfolio directly to trade.
“With 78 Degrees coming in from mid-November, this will mean the full sales and distribution integration will be complete within three months of the acquisition date, resulting in synergies across the sales and marketing teams in line with the acquisition strategy,” Haysman said.
Haysman and Adelaide Hills Founder and Master Distiller Sacha La Forgia were joined by Seven Season’s Founder Daniel Motlop and Torquay Beverage Company Founder Nick Cogger for a Q&A panel that is part of The Bloody Big Drinks Summit. Head to the Summit website to see what La Forgia thinks about the exciting future for Australian whisky and Mighty Craft’s key role in that future.