Spirits giant Sazerac has invested in 818 Tequila, a US-based brand founded by influencer and entrepreneur Kendall Jenner.
The terms of the investment were not disclosed and Sazerac declined to comment further on the details of the transaction.
Sazerac will be the exclusive US sales and distribution partner for 818 Tequila. In a statement, the owner of the Fireball brand said the deal aims to “unlock further growth in all key Tequila markets”.
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Sara Saunders, CMO of Sazerac, said: “Tequila continues to be a bright spot in the atmosphere, driven by strong consumer interest across growing seasons and price points. 818 Tequila is unique because of its cultural significance and commercial momentum. We are energized and look forward to partnering with 818 Tequila to reach even more consumers.”
Founded in 2021 in partnership with Mexican distiller Grupo Solave, 818 Tequila is named after Jenner’s California area code. Its international presence covers markets including the UK, Germany, Canada, China and the Caribbean.
Jenner described the Sazerac partnership as “the perfect next step as we continue to accelerate”.
The move comes as the Tequila category in the US has seen slow sales growth.
Data from the National Alcohol Beverage Control Association (NABCA) shows that tequila sales in 18 states rose 0.2% to $2.51bn by 2025, with volumes up 2.2% to seven million.
Despite the sluggish pace, Tequila and cocktails were the only segments that achieved growth last year. Total US spirits fell 1.4% in NABCA states, with dollar sales down 2.8% to $13.21bn.
The investment in 818 Tequila follows Sazerac’s acquisition of US ready-to-drink brand Dirty Shirley in March.
Media reports have also suggested in recent weeks that Sazerac has made an offer to buy US distiller Brown-Forman.
Earlier this month, The Wall Street Journal again Reuters reported that Sazerac Confidential has spoken to Brown-Forman about a possible deal. The outlets said Sazerac had made an offer to acquire Brown-Forman for $32 a share, which would have valued the Jack Daniel’s maker at around $15bn. Sazerac has not publicly commented on its reported interest in Brown-Forman.
Last week, Bloomberg again Reuters reported that Brown-Forman is interested in a deal with Pernod Ricard for a deal with Sazerac, home of brands including Buffalo Trace whiskey and Svedka vodka.
In March, Brown-Forman and Pernod announced they were in discussions about a possible transaction. However, after nine o’clock in the evening in the UK yesterday, both issued statements that the negotiations had ended without an agreement being reached.
“Sazerac invests in 818 Tequila” was originally created and published by Just Drinks, a brand owned by GlobalData.
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