The chairman of Findlater Wine Merchants, Mr Alex Findlater, is the major beneficiary of the takeover of the family-controlled wine group by Cantrell & Cochrane. Findlater is one of Dublin's oldest businesses and has been trading as a wine merchant since 1823.
The price of the takeover has not been disclosed but drinks industry sources said that given the huge growth in the Irish wine market in recent years, it is likely the price was not much less than Findlater's #20-million (£16 million) turnover. Companies Office files show Mr Findlater owns 212,000 of the 332,000 Findlater shares and so is likely to have received almost £10 million for his controlling stake.
C&C managing director Mr Tony O'Brien said the addition of Findlater's 5-6 per cent of the Irish wine market would increase C&C's market share in wine to 18-19 per cent and make it the State's biggest wine distributor.
C&C currently distributes wine through its Grants subsidiary. The other major wine importers and distributors in Ireland are the Diageo-owned Gilbeys, the Pernod Ricard-owned Irish Distillers, the DCC-owned Woodford Bourne and the major supermarket chains. Wine consumption in Ireland has had average annual growth of 15 per cent a year and this is set to continue, Mr O'Brien said, adding, "people are not just buying more wine, but are buying more expensive wine".
Mr O'Brien said Findlater, which operates from Citywest Business Park and its wine vaults in the former Harcourt Street station in Dublin, will be run as a standalone unit within C&C under its existing management and staff. He added that Mr Findlater himself would remain on "in an ambassadorial capacity to continue the development of the Findlater name".
Mr O'Brien accepted that while having two separate wine businesses would mean that distribution synergies would be non-existent, there are potential conflicts between existing C&C and Findlater brands which means that Findlater has to trade separately from Grants.
Mr O'Brien would not disclose Findlater's profits for the year to September 2000 but these are thought to be well in excess of £1 million given that the company had profits of £783,520 in the previous year.
C&C's main wine agencies include Moreau, Calvet, Rosemount, Nicolas, Hugel, Chapoutier, Goldener Oktober and Pommery champagne.
Findlater's main agencies include Penfolds, Concha y Toro, Bouchard, Baron Philippe de Rothschild, Vinfruco, Marques de Riscal as well as the Veuve Cliquot and Krug champagne brands.
