Pernod Ricard is exploring a sale of its champagne brand G.H. Mumm, according to five sources close to the matter, as it looks to focus on premium labels in its portfolio.
The French spirits company behind Absolut Vodka and Jameson Irish Whiskey is working with investment bank Rothschild & Co on the possible divestiture that could attract interest from other spirits and beverage companies, sources said.
Mumm – a top French champagne house – is unlikely to be sold for less than three times its annual sales of €200 million, one of the people said.
However, the source warned that the company has been selective in who it sells assets to and a sale may not happen.
The sources spoke to Reuters on the condition of anonymity because the matter is not public.
In a statement, the company said, “Pernod Ricard regularly assesses and evaluates its strategic opportunities and is continuously exploring options, including divestments or the streamlining (of businesses).
“This is a usual process in line with management’s mission of delivering value to shareholders, employees, clients and stakeholders.”
It added, however, that no decision about any particular action has been taken.
Rothschild declined to comment.
Portfolio Shift
Should a sale of Mumm go ahead, it would be the latest shift in the company portfolio towards spirits.
Last year, Pernod divested a large portfolio of wine brands, and the company also owns champagne brand Perrier-Jouet, which is not part of the talks.
The drinks group cut its 2025 outlook on Thursday, citing challenging market conditions in the US and China.
It is now expecting a low single-digit decline in organic net sales for the full 2025 year.
Its finance chief Helene de Tissot also said that tariffs imposed by China and the US could deal an estimated €200 million blow to Pernod Ricard’s business annually.
French champagne shipments fell by nearly 10% last year as economic and political uncertainties hit consumers’ appetite for the sparkling wine in key markets such as France and the US, the producers association said.
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