Chinese investor buys majority stake in Coonawarra winery Hollick Wines

Founders Ian and Wendy Hollick said they had sold a controlling interest in the winery they started in 1983 to Hong Kong Yingda Investment Co.

The investment follows other Chinese wine deals in recent years such as Gemtree Vineyards’ joint venture with Sichuan Taifeng Group and Qingdao Cheers Wines’ investment in Strathalbyn-based Belvidere Winery.

Outside the wine sector the Hayes family’s famous Lindsay Park racing and breeding property was sold last year to Hong Kong businessman Mr Pan Sutong, from the Goldin Group.

Mr Hollick said the winery had been on the market for about 12 months with the only serious interest coming out of Asia.

Hong Kong Yingda Investment Co. is part of the Shenzhen Guoneng International Trading Co. of China, which has extensive hospitality operations including five star hotels.

Mr Hollick said while the company had been active in China for about 10 years, it had found breaking into the market in a big way frustrating.

Hollick Wines founders Ian and Wendy Hollick at the Coonawarra winery.

“Part of (the investor’s) operation in China is an established wine distribution business and of course they have experience in the hospitality game by virtue of the ownership of the hotels and the tourism resorts.

“So it’s really a fantastic opportunity over there for us to get immediate coverage into a very broad part of the Chinese market.’’

Mr Hollick said the Chinese company had aspirations to set up a winery operation in China and had vineyards already planted.

“There will be an interchange of ideas and expertise there which will be good for us and good for them.

“The new partnership will also continue the process of building the Hollick brand and concentrating on the values of family history, provenance, heritage, rarity, ethical responsibility and critical acclaim. The Chinese company’s confidence in the Hollick brand and the Coonawarra region is reassuring for many in Coonawarra. It’s very much business-as-usual.”

Mr Hollick said the company might need to buy in more fruit to cope with extra production which would also be a boost for growers in the Coonawarra.

“After the past few years looking down a tunnel with a dim light at the end, we are thrilled to see the sun. Everybody at Hollick is very excited about the future.” Mr Hollick said.

Source: The Advtiser, http://www.adelaidenow.com.au/business/chinese-investor-buys-majority-stake-in-coonawarra-winery-hollick-wines/story-fni6uma6-1226880125635