CASTLE BRANDS LAUNCHES GLOBAL EXPORT VENTURE FOR GOSLING’S RUM
6 Apr 2005
Gosling-Castle Partners, Inc. Formed
Castle Brands Inc. announced today that it has joined with the Gosling family to launch a new global export venture, Gosling-Castle Partners, Inc. (GCP), which will hold the global export rights for Gosling’s Rum. Gosling’s, which began operations in Bermuda in 1806, is particularly well known for its premium Black Seal Dark Rum®, as well as its recently introduced premium Gold Rum® and its ultra-premium Old Rum®. CBI was already the exclusive U.S. importer for Gosling’s rums, and has recently launched the brands in the United Kingdom.
Mark Andrews, President of Castle Brands, commented, "We see very significant growth opportunities for the Gosling’s brands on a global basis, and are glad to join with the Gosling family to help accelerate the expansion of these outstanding brands."
Malcolm Gosling, a member of the seventh generation producing Gosling’s rum, is President and CEO of GCP. He added, "We are excited about the future for Gosling’s rum, both in the U.S. and globally. Castle Brands has a strong and experienced sales team and has proven to be a very capable partner. We look forward to working with them over the long term to maximize the potential of these premium brands."
Gosling-Castle Partners has recently launched a substantial marketing campaign, based on the family’s "Seven Stubborn Generations" and the resulting historic scarcity of the products outside of Bermuda.
Celebrating their 200th anniversary in 2006, Gosling’s is Bermuda’s oldest business. Gosling’s is also the producer of Bermuda’s largest export and in order to meet future growth requirements, the Company is currently expanding its blending capacity in Bermuda.
In a related transaction, Castle Brands has reached agreement with Mellon HBV, a subsidiary of Mellon Financial, whereby Mellon HBV will purchase up to $10,000,000 of five-year convertible notes from Castle Brands. This transaction funds the GCP investment and provides additional growth capital. Castle Brands expects in excess of 300,000 cases in sales in 2005, entirely in the premium category.
Castle Brands is an international producer and marketer of premium spirits brands with a portfolio focused primarily in four of the fastest growing segments of the premium spirits industry: vodka, rum, Irish whiskey and liqueur. Currently, the Castle Brands’ portfolio includes Boru™ Vodka, Gosling’s Rum®, Sea Wynde® Rum, Knappogue Castle® Irish Single Malt Whiskey, Clontarf® Irish Whiskey, Celtic Crossing Liqueur®, Pallini® Limoncello and Brady’s® Irish Cream.