In a strategic move aimed at diversifying its portfolio, Spanish spirits producer MG Destilerías has acquired Coppa Cocktails, marking its entry into the burgeoning ready-to-drink (RTD) category. While specific financial terms of the transaction have not been disclosed, MG Destilerías, renowned for brands such as Ron Barceló and Le Tribute, anticipates a significant boost to its overall turnover, estimated to be around 6%.
With this acquisition, MG Destilerías intends to capitalize on the growing demand for RTD beverages. In addition to its existing line, MG Spirit, the company plans to double its sales of RTDs, leveraging the strengths of Coppa Cocktails.
Coppa Cocktails, a Dutch brand already established in 60 markets worldwide, is poised to achieve sales of 300,000 cases by the end of 2024. Manu Giró, CEO of MG Destilerías and former president of Spirits Europe, expressed confidence in the unique brand identity of Coppa Cocktails and its potential to penetrate key markets such as the US and Europe.
The RTD segment has emerged as one of the fastest-growing categories in the spirits industry, experiencing annual growth rates of 12%, as per data from IWSR. MG Destilerías foresees RTD mixed drinks and cocktails constituting 26% of the overall category’s sales by 2026, surpassing the popularity of hard seltzers, which are expected to account for 20% of sales.
The acquisition of Coppa Cocktails is expected to bolster MG Destilerías’ presence not only in the US and Europe but also in the global travel retail market. In the US, the demand for canned cocktails has surged by 20%, with the category projected to reach a value of US$21.1 billion by 2027. Premium offerings and ‘bar-quality’ products have also gained traction in the travel retail space.
While Coppa Cocktails’ production and bottling currently take place in the Netherlands, MG Destilerías plans to gradually transition these operations to its facilities in Vilanova i la Geltrú, Spain. The brand boasts a diverse range of 16 ready-to-serve products, including popular options such as Margarita, Mojito, Strawberry Daiquiri, and Piña Colada, each with an alcohol by volume (ABV) ranging from 10% to 15%.
Natal da Graça, founder of Coppa Cocktails, expressed optimism about the acquisition, highlighting MG Destilerías’ vision and expertise in brand-building, which is expected to propel Coppa Cocktails’ further development and international expansion in the foreseeable future.
