Beverage company Diageo has acquired Davos Brands in a $610 million deal announced this week. Davos produces such beloved elixirs as Astral Tequila, Sombra Mezcal, and TYKU Sake. But their most notable product is Aviation American Gin, a label owned by actor Ryan Reynold.
Ongoing Partnership
In 2018, Reynolds purchased an undisclosed stake in the already-existent gin company. It was his star power that rocketed Aviation into mainstream popularity. After Reynolds became an investor and the face of the brand, Aviation more than doubled its operations, putting out the most units of any other gin manufacturer. In 2019, Aviation was responsible for 40% of the growth in the super premium gin industry.
Following Diageo’s acquisition, Reynolds will still hold an ownership interest. In a statement issued by Diageo, Reynolds wrote:
“A little over two years ago, I became an owner of Aviation Gin because I love the taste of Aviation more than any other spirit. What I didn’t expect was the sheer creative joy learning a new industry would bring. Growing the brand with my company, Maximum Effort Marketing, has been among the most fulfilling projects I’ve ever been involved with. I want to thank Diageo for their incredible team and passion. We’re so excited for the next chapter of Aviation Gin, which, I promise, will require just as little reading.”
Diageo Impressive Roster
Aviation isn’t the only household name to grace Diageo’s portfolio. The company also owns Tanqueray and Gordon’s. Both these brands are traditional in flavor, being of the London Dry variety. Aviation, meanwhile, is a “New World Gin,” which has less of the botanical juniper flavor. This type of gin has become increasingly popular among young people. Now, with its new acquisition, Diageo is hoping to expand its customer demographic.
Davos has prior experience with celebrity-fronted businesses. In 2017, Diageo bought George Clooney’s mezcal company Casamigos, with great success.
For the customer, there shouldn’t be much difference in the product or its availability. But for the owners of Davos, and for Ryan Reynolds, this week’s big news is reason enough to raise a glass.
