The Winebow Group said Monday that beginning in July, it will increase its distribution of Champagne Laurent-Perrier to 12 U.S. markets up from the current four.
Winebow says its distribution footprint covers 70 percent of American wine consumers.
Laurent-Perrier is currently represented by The Winebow Group’s distribution houses in four markets: Quality Wine & Spirits in Georgia; Purple Feet Wines in Wisconsin; Winebow in New York; and The Country Vintner in Virginia.
According to the agreement, The Winebow Group will distribute Laurent-Perrier in eight additional markets with The Henry Wine Group in California; Stacole Fine Wines in Florida; Vintage Wines in Illinois; Winebow in New Jersey and Pennsylvania; The Country Vintner in South Carolina; Noble Wines in Washington State; and Grape Beginnings in Minnesota.
Expansion May Nudge Listless Share Price
Most investors, if not consumers, likely hope the expansion will put more fizz in the publicly traded Champagne company’s share price. Traded on Euronext Paris, the stock price has been fairly flat for the year to date. A single share purchased on January 3, the first day of trading in 2017, would have set you back €72.01 ($79.01). That share price closed on Monday at €72.30 ($79.31), or up 0.42 percent. In comparison, the CAC 40, the French benchmark that is similar to the Dow 30, is up 11.42 percent year to date.
The consensus forecast of the six analysts who cover the company advise investors to hold their position. That reflects the deterioration of the sentiment they held on November 15, when they forecast that Laurent-Perrier would outperform the market.
“Laurent-Perrier is delighted to extend its partnership with The Winebow Group in major markets across the country. We share many core values and look forward to continued growth in the U.S. market with the support of The Winebow Group’s passionate team dedicated to fine wine,” said Michelle DeFeo, president of Laurent-Perrier U.S.