Jim Beam sells to a Japanese company

[kelroy55]

Say it isn't so....


Suntory Holdings, a massive Japanese beverage company, is acquiring American spirits maker Beam for $16 billion, creating one of the largest premium spirits companies in the world.

The all-cash deal values Beam at $83.50 per share, a 25% premium over Friday's closing price.

Shares in Beam shot up in premarket trading Monday after the deal was announced.

Beam is known for its brand-name products, including Jim Beam bourbon, Maker's Mark whiskey and Courvoisier cognac.

The transaction is expected to close in the second quarter of the year, provided it receives all necessary shareholder and regulatory approvals.

Beam's CEO Matt Shattock said he was excited about the deal, noting that the combination of Suntory and Beam would create the third largest global spirits maker.

"The combined company will have unparalleled expertise and portfolio breadth in premium whiskey, which is driving the fastest growth in Western spirits," he said.

Suntory is a well-known name is Japanese households.

American movie fans might be more familiar with actor Bill Murray's endorsement of Suntory products in the 2003 film "Lost in Translation."

In July, Suntory Beverage & Food raised $4 billion through an initial public offering in Japan. The company, a division of Suntory Holdings, distributes Pepsi (PEP, Fortune 500) in Japan, along with Orangina

[OKCisOK4me]

Cool. Can't wait to try Jim Beam Saki!

[BDK]

They actually make some pretty good whisky. I wouldn't worry about it too much.

[Chadanth]

They actually make some pretty good whisky. I wouldn't worry about it too much.

Hibiki is delicious. The Japanese take their whisky very seriously, and most of what I've tried from there is very good. I wouldn't expect much in terms of change, though, for JB.

[trousers]

JB,meh. Now if they start screwing with the Makers...then we've got a problem.

[MustangGT]

Much ado about nothing. They really do know whiskey and spirits. Much more than most American distillers know.

[RadicalModerate]

JB,meh. Now if they start screwing with the Makers...then we've got a problem.

Jim Beam Black (Label) ain't bad . . . Not my first choice in adult beverages, but it's okay.

[tomokc]

They pledge not to change the product, business model or management, but it may be more difficult to find the product.

A liquor store owner told me recently that a Chinese company is buying all of the Veuve Clicquot Champagne it can get it's hands on to satisfy their exploding domestic demand. Assuming constant production levels, the increased demand will translate into higher prices.

[Chadanth]

They pledge not to change the product, business model or management, but it may be more difficult to find the product.

A liquor store owner told me recently that a Chinese company is buying all of the Veuve Clicquot Champagne it can get it's hands on to satisfy their exploding domestic demand. Assuming constant production levels, the increased demand will translate into higher prices.

I've heard that about a variety of luxury alcohol products. It might be the same with some old favorite American whiskeys.

[MustangGT]

They pledge not to change the product, business model or management, but it may be more difficult to find the product.

A liquor store owner told me recently that a Chinese company is buying all of the Veuve Clicquot Champagne it can get it's hands on to satisfy their exploding domestic demand. Assuming constant production levels, the increased demand will translate into higher prices.

That is very true with many items and brands. They are sucking up virtually every high end brand they can get the hands on.

[RadicalModerate]

Could this be a New-Millennial version of The Greater East-Asian Co-Prosperity Plan that led, inexorably, to Pearl Harbor?
I hope not.

Instead, I hope it is more along the lines of Shibui (or Shibumi, should one prefer the noun version of the term).

[Stan Silliman]

Jim Beam used to make commemorative bottles and my dad collected a slew of them. That was his excuse for alcoholism, helping to increase the bottle market prices.

[RadicalModerate]

Jim Beam used to make commemorative bottles and my dad collected a slew of them. That was his excuse for alcoholism, helping to increase the bottle market prices.

So . . . Any Raleigh Coupons stashed in the attic?
(and isn't the correct spelling of slew "slough"? =)

They might be worth $20 each on Antiques Roadshow. =)