Magnotta Winery acquires Kittling Ridge for undisclosed price
The Canadian Press
Published Tuesday, February 5, 2013 12:52PM EST
TORONTO -- Recently privatized Magnotta Winery Corp. has acquired competitor Kittling Ridge Ltd. for an undisclosed price.
Magnotta, based in the Toronto-area community of Vaughan, said Tuesday the move will double the number of Magnotta stores and expand its product line.
Among other things, the transaction will transfer store licences, grape grower agreements and the Kittling Ridge name and trademarks to Magnotta.
"We are very pleased to have arrived at this agreement with Kittling Ridge," said Magnotta's president and CEO Rossana Magnotta.
"Opening new retail locations in Ontario's regulated wine industry is only possible through the acquisition of existing licences. This purchase allows us to add new stores to our chain and build on our over 20-year retail success while evolving the Kittling Ridge brand."
Magnotta said its new Kittling Ridge stores are in Barrie, London, North York, Richmond Hill and Toronto and that all are expected to become Magnotta stores over the next few years. Meanwhile, Kittling Ridge products will continue to be distributed through liquor boards across Canada and exported.
Established in 1990, Magnotta Winery has with seven retail locations in Ontario.
The company, which formerly traded under the stock symbol (TSX:MGN), was taken private last month in a deal with Magnotta Family Holdings Ltd.