Constellation Brands has acquired a minority stake in the parent company of Mezcal El Silencio, a Los Angeles-based mezcal label.
The investment was made through Constellation’s venture capital group that identifies and invests in emerging brands. Recent investments include Black Button Distilling, as well as Copper & Kings American Brandy Co. and The Real McCoy.
This new collaboration allows El Silencio to invest in infrastructure and growth, the company says, while continuing to produce, market and sell its mezcal products Ensamble and Espadín, as well as grow and maintain its own brand, creative and operations teams.
“We couldn’t be more excited about this partnership. For us, this is about the alignment of vision and ideas we share,” says Fausto Zapata, CEO and co-founder of Mezcal El Silencio. “Constellation’s trailblazing vision, pioneering practices, genuine passion for craft spirits, and appreciation for creativity made this more of a love story than a business transaction.”
The mezcal market in the U.S. has grown exponentially in the last few years and is expected to continue to grow in demand year over year. According to the IWSR, from 2017 to 2018 the mezcal category grew by 32.4%, representing the largest percentage gain across all spirits categories.
“Mezcal is one of the hottest trends in spirits right now, and we’re excited to make our first ventures investment in the mezcal category with a brand as successful as El Silencio,” says Constellation’s President and Chief Executive Officer Bill Newlands. “Fausto and the El Silencio team have done an incredible job of growing the brand, and with our own goal of continuing to build out our premium spirits portfolio, we see our investment as a great move for us and for El Silencio.”
Terms of the transaction were not disclosed.