Moet Hennessy, the red wine and spirits department of high-end corporation LVMH, revealed Monday the purchase of a 50% stake in rap artist Jay-Z’s champagne brand name, Armand de Brignac.
Financial regards to the offer were not revealed.
Jay-Z’s relationship with Armand de Brignac began in 2006 with a 50% stake in the brand name and debuted in his “Show Me What You Got” video prior to it formally released later on that year. He had actually formerly backed Cristal in his tunes prior to an executive of Louis Roederer made disparaging remarks about its function in hip-hop culture. The rap artist, whose offered name is Shawn Carter, purchased the staying half of Armand de Brignac in 2014.
Golden bottles of “Armand de Brignac” Champagne bearing an ace-of-spades insignia are seen at the Cattier champagne household home on November 6, 2014 in Chigny-les-Roses, south of Reims, northeastern France. Hip-hop magnate Jay Z has actually revealed his fondness for Armand de Brignac Champagne for several years and on November 5, 2014 he purchased the brand name.
Francois Nascimbeni | AFP | Getty Images
Carter stated on CNBC’s “Squawk Box” on Monday that he began having discussions about a handle LVMH in 2019.
“It just started out in a place of respect and built from there pretty quickly,” he stated.
Moet Hennessy CEO Philippe Schaus informed CNBC’s Becky Quick that Armand de Brignac brought brand-new customers to the champagne classification.
“What we could bring to the brand, which is already very successful, is the sheer power of our international distribution network,” Schaus stated.
The brand name, which is understood by the label “Ace of Spades,” offered more than 500,000 bottles in 2019.
The coronavirus pandemic has actually struck champagne sales, with individuals having less celebrations and nights out. Industry trade group Comite Interprofessionnel du Vin de Champagne approximated that champagne sales fell $1.2 billion, or 18% by volume, in 2015.