Founded in 2013, Tannico is the market leader in online sales of wines and premium spirits in Italy, with a market share of over 30%. With over 7 million unique visitors in the last 12 months, Tannico’s offering comprises 14,000 wines from over 2,500 domestic and international wineries; alongside a selection of high-end spirits.
Leveraging an ‘unconventional communication approach for the wine industry, an advanced technology applied to online sales and an innovative digital marketing strategy’, Tannico has progressively expanded into B2B, offering professional operators with extra services such as assortment and warehouse management as well as tailored delivery solutions.
Over the last three years, Tannico has been expanding its footprint to more than 20 markets, including the US, Germany, UK, and France. In 2019, Tannico achieved net sales of €20.6m / $23.3m USD (under local GAAP). Net sales CAGR for the past three years (2016-2019) was approximately 50% and such trend grew significantly in Q1 2020, as a result of the pandemic.
The overall consideration for the 49% interest is €23.4m ($26.5m USD).
Pursuant to the investment agreement, Campari Group will have the possibility to increase its interest to 100% starting from 2025, based on certain conditions. The transaction is expected to close by end of July 2020.
Bob Kunze-Concewitz, Chief Executive Officer of Campari Group, said: “Being an essential part of our digital transformation journey, e-commerce is a strategically relevant channel for our business. In this respect, Tannico, leading e-commerce platform for wines and premium spirits in Italy, represents a unique and strategic fit with our long-term business development goals.
“By leveraging Tannico's expertise, we will accelerate our development plans in e-commerce, an already growing channel, but set to become even more strategic following the likely long-lasting changing consumer behaviours due to the COVID-19 emergency, largely enhancing our digital capabilities.
“Moreover, with our support, Tannico will be able to strongly accelerate its international development and the B2B services, further boosting its already extremely remarkable growth.”
Marco Magnocavallo, Chief Executive Officer and Co-founder of Tannico, added: “As consumers largely evolve in their purchasing behaviors getting increasingly closer to the online world, it is essential for Tannico to have the necessary resources to accelerate its development, without sacrificing the curation that characterizes us.
"With Campari Group, we have found an ideal partner who can support us in consolidating our leadership in the Italian market as well as significantly expanding our business abroad and in the B2B channel.”
Vitale&Co S.p.A. and Chiomenti Studio Legale advised P101 SGR on this transaction. Pedersoli Studio Legale and McDermott Will&Emery acted as advisors for Campari Group.