Bacardi agrees to buy majority stake in Jay-Z’s D’Ussé brand in multibillion-dollar deal, ending lawsuit

Jay-Z drinks D’Ussé
Roc Nation brunch
One World Trade Center, New York City: Diddy ‘Love’ Combs, Swizz Beatz, Jay-Z, Steve Stoute, Kareem ‘Biggs’ Burke, Al B. Sure, Yo Gotti, Big Sean celebrate during the 2018 Roc Nation Grammy Brunch, January 27, 2018.
It’s been announced that Jay-Z successfully ended his legal battle with liquor giant Bacardi over his D’Ussé cognac brand.

Jay-Z and Empire Investments Inc., a subsidiary of Bacardi, entered into a partnership in 2012, with the parties having 50/50 ownership in D’Ussé cognac. By 2022, D’Ussé had grown to become one of the fastest-selling spirits in history. Jay-Z’s attempt last year to sell a majority of his ownership stake to Bacardi for $1.5 billion was met with a lowball counter-offer, $460 million.

In October 2022 Jay-Z and his team sued Bacardi stating the company was purposefully reducing production and distribution of D’Ussé to manipulate buyout price for Jay-Z’s stake.

D'Usse CognacIn resolving their legal battle, Jay-Z walks away with a large payout, said to be in the billions, while maintaining a “significant ownership stake” in D’Ussé. Bacardi now owns 75% of the cognac.

With Jay-Z’s influence, the D’Ussé brand has seen the fastest growth in the cognac category, experiencing a 30% compound annual growth rate (CAGR) in just the last 3 years. In that time, D’Ussé has received a number of awards, beating out more established brands.

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