By taking control of Vinadeis, InVivo breaks through €500-million-barrrier in revenue

Wednesday July 08 2020 by Vitisphere

“We combine 9 co-operative groups (covering 25,000 hectares under vine in South-West France, the Rhone Valley and Beaujolais). We are gaining traction”, pointed out Thierry Blandinières.“We combine 9 co-operative groups (covering 25,000 hectares under vine in South-West France, the Rhone Valley and Beaujolais). We are gaining traction”, pointed out Thierry Blandinières. - Photo credit : vinadeis

The wine subsidiary of France's leading co-operative group is entering into exclusive negotiations with the Occitan co-operative group Vinadeis to become its majority shareholder. The deal will allow InVivo to reach its objective of 500 million euros in sales by 2020 set five years ago, announced Thierry Blandinières, CEO of the InVivo group. “We are entering into exclusive negotiations to become the main shareholder of Vinadeis with a 57% stake, by buying back shares and contributing goodwill. The boards of directors of Val d'Orbieu and Vendéole have given their approval and the board of directors of InVivo ratified the project on Thursday 25 June. The competition authority has to examine the issue, but with a company turning over 500 million euros, there is still room for others in the world of wine”, stressed the interim director of InVivo Wine.

InVivo Wine has a turnover of €225 million and Vinadeis €275 million. We will see how the situation pans out in 2020, but this is definitely a first step. We are halfway there [Editor's note: InVivo Wine is aiming for €1 billion by 2025]”, announced Blandinières. "We had to reach this stage to ensure a critical size that would allow us to absorb the fixed costs and invest commercially. I am pleased that we have managed to turn this first corner. It's always more difficult when you start from scratch, it’s an uphill struggle and it takes a lot of discussions to make headway. After experiencing ups and downs at various levels, we can be satisfied that we have taken this first, decisive step”.

 

 

 

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