Chapel Down expands into America with distribution deal
Chapel Down has announced a new agreement with Jackson Family Wines for the distribution of its sparkling wine in the USA.
It is unclear how the deal will be affected by Trump’s 10 per cent tariff on all goods going into America.
The distribution agreement for wine in the USA – Chapel Down’s “largest potential export market” – will be effective from the mid-second quarter of 2025.
Chapel Down said the agreement was part of a “range of options to further optimise distribution” in international markets.
Alongside the deal, Chapel Down announced its full-year results for the year ended December 31, 2024.
Net sales fell five per cent year on year, from £17m to £16.3m, while gross profit fell 11 per cent from £8.9m to £7.9m.
Adjusted earnings before interest, tax, depreciation and amortisation (EBITDA) fell 58 per cent, from £5.7m to £2.4m.
Winemakers in England suffered the second-worst harvest on record last year, with wet weather and disease decimating yields.
But the company said it was confident that the “one-off factors” that contributed to the drop in sales are “unrelated to the underlying growth in consumer demand for Chapel Down wines, which continues.”
CEO James Pennefather said: “I am delighted to join Chapel Down at a pivotal time in the development of the English wine market. As the global reputation of England as a wine-making region grows, especially in the sparkling wine category, we have a rare opportunity to establish Chapel Down as a celebrated wine brand of international acclaim.
“With our experienced team, portfolio of exceptional wines and a clear strategic focus, we are well positioned to grow both domestically and internationally.”