By Tabitha Evans Moore
Editor & Publisher

LOUISVILLE, Ky. — Sazerac has now asked twice. And twice, the family that has owned Brown-Forman for six generations has said no.

Brown-Forman’s board announced Sunday that it had received a new unsolicited proposal from Sazerac to acquire the Louisville-based spirits company — parent of the Jack Daniel’s family of brands and Moore County’s largest employer. After weighing the offer alongside the view of Wolf Pen Branch, LP — the collection of Brown family members who hold the majority of the company’s voting shares — the board concluded the proposal “is not actionable.”

“WE CARE DEEPLY ABOUT THE COMPANY.”

It is the second time this year Sazerac has come calling. The first was back in April, when the private, family-owned spirits company put a hard number on the table — roughly $15 billion, or $32 a share — after Brown-Forman’s monthslong merger talks with French spirits maker Pernod Ricard had already gone public. Those Pernod talks collapsed on April 29, with both companies citing an inability to agree on debt structure and economics, leaving Sazerac as the only bidder still standing. Now, three months later, Sazerac is back with another offer. The family’s answer hasn’t changed.

“As fourth-, fifth- and sixth-generation shareholders of Brown-Forman, we care deeply about the company – its brands, its people, and its culture,” Wolf Pen Branch said in Sunday’s announcement. “We are confident in the strength and competitive position of the business, and believe the company is well positioned to deliver long-term value for all shareholders. We have concluded that Sazerac’s proposal does not align with this vision for Brown-Forman’s future.”

Brown-Forman Chairman Marshall B. Farrer echoed that, telling shareholders the board and leadership team are “excited about what lies ahead, including the next chapter of leadership.”

MOORE COUNTY’S LARGEST EMPLOYER

What’s different this time is the context. In April, this newspaper reported that Brown-Forman’s own results showed the pressure behind the deal talk — flat organic sales, a $400 million share buyback, a restructuring plan cutting 12 percent of the global workforce. None of that has gone away. If anything, a second Sazerac approach so soon after the first suggests the private company sees an opening. The family, twice now, has told them there isn’t one.

For Moore County, the stakes are the same ones this paper has tracked all year. Jack Daniel’s Distillery is the county’s largest employer and the anchor of a tourism economy valued at $15.8 million annually. A change in ownership at the top of Brown-Forman would not stay a Louisville story — it would show up here, in whether the distillery keeps hiring and keeps investing in this community the way it always has.

Twice this year, the family that owns it has said it intends to keep it that way.

This is a developing story. The Lynchburg Times will continue to report as it unfolds.•

About the Lynchburg Times: The Lynchburg Times is Moore County’s locally owned, independent news source and the only local media source own by a Lynchburg native. Our reporting is supported by readers, small business partners, and underwriters who believe community journalism matters. If this story was valuable to you, consider becoming a supporter at lynchburgtimes.com.