In what seems to be a recent trend in the winemaking industry, yet another piece of California vineyard real estate has been snatched up by a large company.
French luxury company LVMH’s Moet Hennessy division shared on Wednesday that it recently closed a deal to acquire Joseph Phelps Vineyards in Napa Valley, according to CNBC. While the financial terms of this acquisition were not disclosed, the company states that this particular vineyard was chosen for its commitment to high-quality wines and shared values with LVMH.
The longstanding, family-owned vineyard was founded in March 1973 and started with a 600-acre plot of land in Napa Valley. Joseph Phelps Vineyard has since grown to include winemaking properties on the Sonoma Coast. It’s known for its Pinot Noir and Chardonnay, which are offered at the Freestone Winery alongside the Sonoma Coast vineyard.
Moet Hennessy chairman and CEO Philippe Schaus remarked that the brand is an “iconic name and iconic winery.” It now has grown from its humble beginnings in Napa Valley to produce a whopping 750,000 bottles a year. One of its most recognizable offerings, Insignia, retails for roughly $250.
LVMH holdings oversees numerous luxury goods brands such as Givenchy, Tiffany & Co., Fendi and Céline. The Moet Hennessy division, under LVMH, manages brands such as Dom Perignon, Hennessy, and Belvedere.
Earlier this month, Foley Family Wines acquired properties held by Silverado Vineyards, another family-owned California winery, for $150 million. It’s another move by a larger wine company to build its already growing portfolio with California vineyard properties.