However, sources said the talks fell over before anything could be agreed. Lark’s share price – in the doldrums since early this year – was said to be a contributing factor.
While Street Talk doesn’t normally focus on historical and failed M&A talks – there are plenty of those out there – this one’s more interesting than most.
The two companies have forged strong followings in Australia, selling premium-priced whisky and trying to put the local industry on the global distilling map. Together, they could be quite the force.
Sullivans Cove shot to fame when it won best single malt at the World Whiskies Awards in 2014, and its whisky starts at $250 a bottle (if you can even get it). The listed Lark’s isn’t much cheaper.
We can only imagine there were a few whiskys involved as the talks played out – obviously not enough, though.
The talks also explain why Lark’s been leaning on Barrenjoey’s bankers, as Street Talk reported earlier this month.
Anthony Macdonald co-edits Street Talk, specialising in private equity, investment banking, M&A and equity capital markets. He has 10 years’ experience as a business journalist and worked at PwC, auditing and advising financial services companies. Connect with Anthony on Twitter. Email Anthony at firstname.lastname@example.org
Sarah Thompson has co-edited Street Talk since 2009, specialising in private equity, investment banking, M&A and equity capital markets stories. Prior to that, she spent 10 years in London as a markets and M&A reporter at Bloomberg and Dow Jones. Email Sarah at email@example.com
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Australian Financial Review