According to a report in The Wall Street Journal, Brown-Forman has turned down a $15 billion takeover offer from Sazerac.
Sazerac’s latest all-cash offer was financially backed by Wells Fargo and Apollo Global Management, people familiar with the matter told WSJ.
“Advisers for Brown-Forman informed Sazerac on Monday that the company was rejecting the $32-a-share cash offer Sazerac recently made,” WSJ said.
Sazerac’s portfolio includes 550 brands, ranging from Buffalo Trace bourbon to Fireball Cinnamon Whisky and BuzzBallz ready-to-drink cocktails.
Brown-Forman’s portfolio includes whiskey brands such as Jack Daniel’s, Woodford Reserve and Old Forester, tequila brands such as Herradura and el Jimador, Benriach Scotch whisky and a range of RTDs.
According to Seeking Alpha, Brown-Forman shares closed more than 1% lower on Tuesday “but have perked up in after-hours trading”.
Brown‑Forman announced last month that the company and Pernod Ricard had terminated discussions regarding a potential business combination, as the companies were unable to reach mutually agreeable terms.
Brown‑Forman and Pernod Ricard previously confirmed discussions on March 26 and noted there could be no assurance that any such agreement would be reached.