Business

Modesto area’s Wine Group buys Sonoma County winery

The Wine Group, a major player in the Modesto-area industry and beyond, has purchased the acclaimed Benziger Family Winery in Sonoma County.

Terms of the deal were not disclosed by The Wine Group, which is based in the Livermore Valley and owns the former Franzia Winery near Ripon. The price could be as high as $100 million, according to the Santa Rosa Press-Democrat.

The purchase is yet another move into a high-priced coastal region by a large company that does much of its business in lower-end products from the San Joaquin Valley. Most active has been E.&J. Gallo Winery of Modesto.

“We are honored to bring the Benziger Family Winery and its team into The Wine Group,” said Brian Vos, chief executive officer, in a news release. “We look forward to continuing to build on Benziger’s reputation as a producer of some of Sonoma County’s best wines while providing visitors with an unrivaled experience at the beautiful and unique Sonoma properties.”

Benziger, founded in 1981, offers wines from $12 to $80. The purchase includes the flagship winery in Glen Ellen and the nearby Imagery Winery, along with several vineyards.

Benziger’s main property is farmed “biodynamically,” an advanced form of organic growing that promotes wildlife habitat, composting and other practices.

Vos said his company has “been thoughtful in our search for a winery that produces exceptional wines while sharing our values of integrity, social responsibility and innovation.” The 150 employees at Benziger are transferring to The Wine Group.

The buyer, also founded in 1981, is the world’s third-largest wine company after Gallo and Constellation Brands. Its labels include Franzia, Cupcake, Concannon, Big House, Almaden, Corbett Canyon, Foxhorn, Fish Eye and Flipflop✔.

The deal adds about 185,000 cases to the nearly 60 million produced each year by The Wine Group, according to industry estimates. Both companies are privately held and do not disclose financial details.

Mike Benziger, founder and CEO of Benziger, said in the release that he was looking to sell to a company that shared the same values.

“We are certain that The Wine Group will carry on the Benziger family’s legacy of quality,” he said.

John Holland: (209) 578-2385

This story was originally published June 9, 2015 at 9:54 AM with the headline "Modesto area’s Wine Group buys Sonoma County winery."

Get unlimited digital access
#ReadLocal

Try 1 month for $1

CLAIM OFFER