An equity raise by Tasmania’s Lark Distilling has resulted in Seppeltsfield Wines, which is owned by Lark director Warren Randall, raising its stake in the company from 3.8% to 19.5%.

Seppeltsfield will contribute $14.5 million to in a strategic partnership and will exclusively provide the distillery with premium oak barrels for the next 10 years, with a 10-year option to extend by Lark.

Domenic Pannaccio and David Dearie are also contributing $250,000 each to the equity raise.

Lark CEO Sash Sharma said: “In providing security of access to some of the world’s highest quality barrels, the strategic partnership with Seppeltsfield creates further competitive advantage for Lark in an integral part of our whisky making process. It also lays a solid foundation for Lark’s future portfolio and brand offerings.”

Sharma said the proceeds would allow it to invest in its brand and facilities to drive the export strategy and accelerate growth.

“This, in addition to the equity raise being undertaken, will equip Lark with the resources to continue to produce exception whisky while providing the balance sheet flexibility to invest in our brands, facilities, and distilling production,” he said.

“Additionally, we plan to enhance our cellar door experience in Hobart to better engage with our consumers and trade partners.”

The announcement followed the release of Lark’s FY24 unaudited results. Net sales were down $3.1 million on FY23 to $14 million but in-line with the company’s previous market update.

Sharma said: “In line with our strategic priority to build long term brand value, work has a commenced on our Brand & Portfolio restage, we have appointed LOVE, a high-quality global creative agency, experienced in the Luxury alcohol space.

“This exciting workstream will support our global expansion ambitions, positioning Tasmania as the epicentre of new world whisky, with Lark as the differentiated leader.”

Lark Distilling was founded in 1992 by Bill and Lyn Lark. 

Lark scoops the pool at 2024 World Whisky Masters Awards

Lark has been awarded four gold medals across its single malt whisky portfolio at the World Whisky Masters Awards.

Chaired by The Spirits Business and a panel of leading spirits specialists, whiskies are judged in a blind tasting.

Lark took home medals for:

• LARK Classic Cask (GOLD)
• LARK Chinotto Citrus Cask (GOLD)
• LARK Tasmanian Peated (GOLD)
• DARK LARK 2024 (GOLD)

Lark Master Blender Chris Thomson: “It is an enormous honour for Lark to be awarded four gold medals at one of the most prestigious industry events in the world.

We received a medal for every whisky we entered, which is a testament to our pursuit of excellence; the quality, craftsmanship and pioneering Tasmanian spirit that goes into every bottle of Lark.”