William Grant & Sons has declined to comment on speculation that it may build a distillery for its newly- acquired Tullamore Dew Irish whiskey brand.

William Grant will gain Tullamore Dew as part of its EUR300m (US$399.4m) deal to acquire the spirits and liqueurs division of Ireland’s C&C Group, announced last week.

Speculation has arisen that William Grant, which already owns Scotch brands Grant’s and Glenfiddich, may look to build a distillery in Ireland for Tullamore Dew. 

C&C Group, without a distillery of its own, had contracted out production of the whiskey, partly to Pernod Ricard-owned Irish Distillers and partly to Cooley. The arrangement has been part of the group’s strategy to generate strong cashflow off a light asset base in its spirits division, which also includes Carolans Irish cream liqueur and Italian liqueur Frangelico.

A spokesperson for William Grant told just-drinks that the privately-owned firm is unable to comment on investment plans until the deal has been completed.

William Grant CEO Stella David said last week that Tullamore Dew will be a core brand for the group and that the Irish whiskey sector is “highly desirable”. She added that Grant will “invest in and grow the value of these brands over the long-term”.

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