Constellation to sell Canada wine business for C$1.03 billion

Mon Oct 17, 2016 8:16am EDT
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Oct 17 (Reuters) - Constellation Brands Inc said it will sell its Canadian wine business to Ontario Teachers' Pension Plan in a deal valued at about C$1.03 billion ($775.02 million).

The sale, which includes the Jackson-Triggs and Inniskillin wine brands, is expected to close by the end of the calendar year, the company said.

Constellation Brands will continue ownership of Black Velvet Whisky and the related production facility in Lethbridge, Alberta, Canada.

The company also said it will buy the Charles Smith Wines collection of five super and ultra-premium wines from Charles Smith Wines LLC for about $120 million to enhance its U.S. wine portfolio.

Constellation's shares were up 2 percent at $173 in premarket trading on Monday. ($1 = 1.3290 Canadian dollars) (Reporting by Sruthi Ramakrishnan in Bengaluru; Editing by Shounak Dasgupta)