Chalone wine group has announced that it has received an acquisition proposal from another bidder which supersedes the deal it is negotiating with Rothschild.
According to the Los Angeles Times the mystery bidder is drinks multinational Diageo.
On 1 November, as reported on decanter.com, Chalone accepted the takeover bid from Domaines Barons de Rothschild.
The new bid, if it goes through, will threaten a major joint venture between Chalone, DBR, Constellation and Huneeus of Chile. The group intends to develop a luxury brand in Napa.
DBR has until tomorrow (17 December) to decide if it is going to meet, or better the bid.
The new bidder has offered US$13.75 per share for Chalone. DBR offered US$11.75 per share.
Constellation spokesman Mike Martin told decanter.com, ‘We are evaluating our options in light of the new offer Chalone received. The deadline is tomorrow for bids, so we’ll all know soon enough.’
Written by Adam Lechmere