UST Inc. uncorked a $185 million acquisition of Stag”™s Leap Wine Cellars, a famed vineyard in Napa Valley that is credited with putting California wines on the world map.
In 1976, under winemaker Warren Winiarski, a Cabernet Sauvignon from Stag”™s Leap Wine Cellar bested top competitors from France”™s Bordeaux region; another Napa, Calif., vineyard called Chateau Montelena took top honors for white wines.
The event is the subject of the book “Judgment of Paris: California vs. France and the Historic 1976 Paris Tasting That Revolutionized Wine”; and two upcoming movies, one based on the book and the other “Bottle Shock.”
Many of Stag”™s Leap Wine Cellars”™ vintages sell for between $75 and $150 a bottle.
The deal does not include Stag”™s Leap Winery, a vineyard located up the road in Napa that is owned by an affiliate of Australia-based Foster”™s Brewing Group Ltd., and is not affiliated with Stag”™s Leap Wine Cellars.
Winiarski reportedly first approached Italian winemaker Marchese Antinori SRL, which then suggested bringing UST in on the deal. Last year, UST obtained U.S. distribution rights for Marchese Antinori.
Greenwich-based UST is blending Stag”™s Leap Wine Cellars and its 100 employees with its Ste. Michelle Wine Estates subsidiary, the largest wine producer in Washington state.
Among the 10 largest U.S. vintners, Ste. Michelle Wine Estates was the fastest-growing producer during the first half of 2007.
Wine accounted for roughly 16 percent of UST sales in the second quarter, with UST earning $140 million on $491 million in revenue.
Â
