Bacchus Capital Provides Follow-on Growth Capital to Wine by Joe
February 06, 2013
Bacchus Capital Management has announced making a follow-on investment in Wine by Joe, one of Oregon’s largest wine producers. The capital infusion enables Wine by Joe to further expand its distribution while building inventory and infrastructure. Wine by Joe concurrently added Anthony Van Nice as Chief Operating Officer, responsible for all business operations including sales, marketing and strategy, working closely with Joe Dobbes, Founder, President and Winemaker.
Bacchus’ portfolio companies now comprise: Sbragia Family Vineyards, Andretti Winery, Pietra Santa, Qupé and Wine by Joe.
“They’re coming off their best year ever, up to 30,000 cases sold in 2012 with revenue growth on branded goods of over 40 percent,” Sam Bronfman II, Co-Founder and Managing Partner of Bacchus told winebusiness.com. “Things are going very well, and we are looking forward to continuing to expand the business."
Terms were not disclosed. Bacchus typically makes investments in a range of $2 to $7 million.
Van Nice, previously president of The Four Graces, noted that its new partner Old Bridge Cellars opened new markets for Wine By Joe last year, adding that there’s opportunity to grow. “We think there’s a lot of low hanging fruit in distribution,” he said, adding that much of the focus will be on California, Texas, and Florida. “We are going to spend a lot of time in those markets and we think there’s a lot of growth potential for the brand, nationally.”
Wine by Joe has been a Bacchus portfolio company since September 2011.
“I’m at the right place, at the right time,” Van Nice said. “Working with Joe, the team at Dobbes and Bacchus are an ideal fit.”
“They’ve been great advisors,” Dobbes told winebusiness.com. “I like to grow things quickly and realized we need more management firepower and a little more financing behind us to help us take it to the next level. The intent of this business always has been not necessarily to make wine for custom winemaking and bulk sales, but to grow our own branded goods. That takes a lot of capital, a lot of energy and a lot of expertise.”