Constellation Brands has agreed to divest its SVEDKA vodka brand to Sazerac as part of a strategic shift towards premium products and craft spirits.

Target Information

Constellation Brands, a prominent player in the beverage alcohol industry, has announced its decision to divest the SVEDKA brand to Sazerac, a global spirits company. The transaction is anticipated to close in the coming months, marking a significant shift in Constellation's brand portfolio.

This divestiture represents a strategic realignment for Constellation Brands, enabling it to focus on premium and fine wine and craft spirits, which align with current consumer preferences. Over recent years, Constellation has streamlined its offerings, moving away from mainstream brands to prioritize high-end products.

Industry Overview

The beverage alcohol industry in the United States has experienced a dynamic evolution, with consumers increasingly seeking premium quality and unique flavors. This shift is driving demand for artisanal spirits and high-qua