Jay-Z reaches agreement with Bacardi over cognac brand

 

 

After a widely publicized court dispute, Shawn “Jay-Z” Carter and Bacardi have made an announcement on a long-term deal that includes the D’USSÉ premium cognac brand.

 

“Growing D’USSÉ over the past decade from an idea to one of the fastest-selling spirits in history has been a blessing,” Jay said in a statement. “The next phase of this journey will further cement D’USSÉ’s legacy as one of the world’s most respected brands. I am excited to renew this partnership with Bacardi.”

 

The deal, which is hailed as starting the next chapter for D’USSÉ, will see Jay keep a “significant ownership stake” while Bacardi acquires the majority of the multibillion-dollar brand.

The prior court dispute was primarily about D’USSÉ’s valuation and that Jay claimed he wasn’t receiving an appropriate evaluation. With Friday’s revelation, we now know that Bacardi has resolved this arrangement by acquiring the majority of Jay’s stake.

 

As is to be expected, it is unknown just how much of Jay’s stake Bacardi has acquired. However, it had previously been established that Jay controlled 50% and Bacardi the remaining 50%. A majority interest would therefore equal at least 26 percent of Jay’s 50 shares.

It can be assumed that the recently announced acquisition stake was sold at a valuation of at least $3 billion based on public court documents seen by Complex, including court proceedings from last month detailing an offer from Jay-Z to buy Bacardi’s interest for $1.5 billion and a valuation of SC Liquor’s (Bacardi) share at $2.5 billion.