Bacardi Limited, the world’s largest privately-owned international spirits company, announced it acquired ILEGAL Mezcal, a renowned super-premium artisanal mezcal brand.
While terms of the transaction were not disclosed, prior reports from Bloomberg News indicated that the acquisition was less than $200m – possibly in the $120-$130m range. Private equity firm L Catterton was also interested in acquiring the company.
Bacardi has been partnered with ILEGAL since 2015 and owned about 20% of the company prior to today’s deal.
The super-premium plus mezcal segment is experiencing rapid expansion, projected to achieve a remarkable Compound Annual Growth Rate (CAGR) of 16% in the upcoming five years, as reported by IWSR. In the period leading up to 2027, the agave category, encompassing both mezcal and tequila, is poised to ascend to the sixth position among global categories, having recently surpassed American Whiskey in value to secure the second-largest rank in the United States. With an impressive 86% share of the global market, the United States stands as the predominant force in the super-premium mezcal category, as per data from the 2022 IWSR.