Treasury Wine Estates is selling more than 1000 hectares of vineyards in South Australia, less than a month after it announced a business review to cut costs.
According to media reports in The Australian, the vineyards include 488-hectare property near Bordertown and four Langhorne Creek sites across around 520 hectares.
TWE chief supply officer Kerrin Petty said the sales were part of its ongoing vineyard portfolio review.
“We continually review our global vineyard assets to make sure they’re set up to deliver on our strategy to grow our premium and luxury portfolio.
“Last year we acquired Beenak Vineyard in Victoria’s Yarra Valley, as well as Château Lanessan in Bordeaux.
“Right sizing our sourcing footprint has also meant divesting some assets, including our vineyards in Bordertown and Langhorne Creek, South Australia,” Petty said.
TWE acquired Beenak Vineyard from Accolade Wines in July last year, with Accolade saying the sale was due to an oversupply of the grapes within the business.
Treasury Wine Estates (TWE) confirmed the completion of its majority acquisition of Château Lanessan in October last year. TWE said the acquisition was the latest step in bolstering Penfolds multi-regional luxury wine portfolio, doubling the existing production capacity in France.
In 2021, Treasury Wine Estates’ acquisition of US Frank Family Vineyards for $434 million was a major step in its commitment to building its luxury portfolio and strengthening its presence in the Americas.