Pernod Ricard: stock up with potential talks on wine busines

(CercleFinance.com) - The Pernod Ricard share is up nearly 1% today after a Bloomberg article indicating potential discussions for the sale of the group's Wines division.


The stock jumped at around 5 pm yesterday to then fall back, finishing up nearly 0.3%.
In this wine division Pernod Ricard owns the Brankott Estate New Zealand brands, Kenwood Vineyards in California, Jacob's Creek in Australia and Campo Viejo in Spain. These businesses generate annual revenues of nearly 500 million euros. Aurel BGC points out in its daily equity report that this is less profitable than the group's spirits business.

Discussions for a possible sale of this wine business could be the result of the arrival of the activist fund Elliot in the group's capital. However, nothing is decided as of yet regarding this business. According to Aurel BGC, the group would only be at the start of talks and may even decide not to sell this business after all.



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