Majestic Wine offloads business to focus on Naked Wines brand
Majestic Wine has agreed to sell its retail and commercial business to Bacchus Holdings, a vehicle controlled by funds managed by Fortress Investment Group, in a deal worth £100m. The sale includes everything but Majestic’s website, with £95m paid by Fortress for the businesses and one undisclosed property sold for redevelopment for £5m. The funds from the deal will be used to invest in Majestic’s Naked Wines brand, bought for £70m in 2015, as well as eliminating group debt and rewarding shareholders with £3.8m in dividends. Fortress intends to invest in Majestic Wine as a retail proposition, favouring a face-to-face experience over online.