Chapel Down drops sale plans following strategic review
30th October 2024
Kent-based wine producer Chapel Down confirmed it abandoned plans to sell the company following a recent strategic review.
Earlier this year, the board of Chapel Down announced that it will be conducting a strategic review of the options to fund its plan to “continue driving strong and profitable growth in the long-term”.
As part of the review, the team considered all alternatives, including investment from existing or new shareholders, a sale of the company, and other relevant transactions, chief financial officer Robert Smith confirmed.
An update on the review that has just been published reads that the company is no longer in an “offer period” and it will “only consider transactions that are value creating for our shareholders”.
READ MORE: Kent-based winery may be put up for sale
Lower yields of 2024
Chapel Down also confirmed that harvest 2024 is nearly completed.
The grapes will be “of a high quality with particular similarities noted with the 2019 vintage, but of a lower yield than the exceptional 2023 and the five-year average harvests”.
The company confirmed it has built a strong inventory of wine from previous vintages, and therefore future sales plans will not be impacted by stock availability.
Chapel Down expects the 2024 harvest to be approximately 1,875 tonnes, compared to 3,811 tonnes in 2023 and 2,050 tonnes in 2022.
Planting at the new Buckwell vineyard is now complete, and the vines are growing in line with expectations, the business confirmed.
Buckwell gives an additional 91 acres (37 hectares) of Chardonnay and 27 acres (11 hectares) of Pinot Noir, extending Chapel Down’s planted vineyards to 1,024 acres (414 hectares).
This means that Chapel Down owns around 10% of the UK’s planted vineyards.
Chapel Down’s operations director and head winemaker, Josh Donaghay-Spire, said: “The fruit is looking and tasting great, particularly at our vineyards on the Kent Downs.
“Whilst the 2024 vintage has faced more difficult weather conditions in September, vintage conditions and grape flavours are reminiscent of the 2019 harvest, which delivered great quality traditional method sparkling wine such as the recently released Grand Reserve 2019 and Blanc de Blancs 2019.”
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