Constellation Brands Sells Off Svedka, J.M. Smucker Drops Voortman

Sazerac is purchasing Svedka, expanding its global spirits portfolio of vodkas, seltzers, and gins.

Two brands, Constellation Brands and J.M. Smucker, are joining the recent jump in M&A activity within the CPG space, slimming portfolios to cut back on costs and focus on more profitable opportunities. 

Constellation Brands is divesting its Svedka brand as part of a portfolio optimization strategy to focus on higher-end products. 

The beverage alcohol company — which includes such brands as beers Corona Extra and Modelo Especial, Casa Noble Tequila, High West Whiskey, and wines Kim Crawford and Meiomi — looks to align its wine and spirits offerings with evolving consumer preferences. Over the past several years, Constellation has sold off the majority of its mainstream portfolio to shift focus to its premium category. 

“The actions we have taken over the past several years to reshape our wine and spirits portfolio support our efforts to accelerate the performance of that business,” said Bill Newlands, president and CEO of Constellation Brands. “This transaction is another step forward in seeking to ensure that our wine and spirits portfolio is optimized to succeed and to meet our growth objectives.”

Also read: Constellation Brands Hires EVP, Chief Growth & Strategy Officer

Sazerac is purchasing Svedka, expanding its global spirits portfolio of vodkas, seltzers, and gins that include such brands as Buffalo Trace Bourbon, Eagle Rare, Weller, The Last Drop Distillers, Fireball Cinnamon Whisky, Southern Comfort, Wheatley Vodka, Meyers’s Rum, White X Cognac, Sazerac de Forge Cognac, Paddy’s Irish Whiskey, and more. The transaction is expected to close in the next few months.