The UK Competition and Markets Authority (CMA) has cleared William Grant & Sons Group’s acquisition of The Famous Grouse and Naked Malt from Edrington.
The regulatory green light, issued yesterday (6 March), allows the Monkey Shoulder brand owner to proceed with snapping up the two blended whisky labels from Edrington subsidiary The 1887 Company.
The news of the proposed takeover was first announced in September.
After looking over the transaction details, the CMA launched a merger inquiry in January to assess whether the acquisition would “result in the creation of a relevant merger situation under the merger provisions of the Enterprise Act 2002”.
Additionally, the authority examined whether the deal could lead to a “substantial lessening of competition within any market or markets in the UK for goods or services”.
In a statement yesterday, William Grant CEO Søren Hagh, who joined the company in January last year, said the CMA clearance was an “important moment” for the company.
Hagh added: “The acquisition of The Famous Grouse, when completed, will further demonstrate our significant commitment to building category momentum in Scotch Whisky in the UK and in our markets globally.”
Despite securing CMA approval, William Grant said that closing the transaction remained “subject to customary regulatory approval in certain other countries, and we will continue to work constructively with the relevant authorities”.
For Edrington, the deal marks its shift away from the blended Scotch category.
When the acquisition was announced, the company said the disposals represented “the next stage of the company’s mission to be the world’s best at crafting exceptional ultra-premium spirit brands”.
Edrington’s brand portfolio includes The Macallan and The Glenrothes Scotch, as well as Brugal rum and Wyoming Whiskey.
William Grant’s portfolio includes Scotch whiskies such as Glenfiddich, Grant’s and The Balvenie.
The company also produces other spirits, including gin, rum, Irish whiskey, and liqueurs under brands such as Hendrick’s, Sailor Jerry, Tullamore Dew, and Drambuie.
In September 2023, the group acquired Silent Pool Distillers, adding the UK gin producer to a portfolio that already includes Hendrick’s gin.
