Diageo has announced that it has acquired Mr Black, an Australian premium cold brew coffee liqueur launched in 2013 by designer Tom Baker and distiller Philip Moore.
Mr Black has grown to become the leading premium-priced coffee liqueur in the United States, applying modern coffee brewing techniques and quality sourcing.
In 2015, Diageo acquired a minority stake in Mr Black through Distill Ventures, the Diageo-backed accelerator program. Distill Ventures receives funding from Diageo and works with the company to support entrepreneurs as they launch and grow innovative drinks brands.
Co-founder Tom Baker will remain actively involved with the brand.
Diageo president, U.S. Spirits and Canada, Claudia Schubert, said Mr Black was still on the rise in the segment.
“This acquisition is in line with our strategy to acquire high growth brands in exciting categories, and we are delighted to welcome Mr Black into our portfolio,” said Schubert.
Diageo Australia managing director Angus McPherson said Mr Black was yet another example of the Australian spirits industry showing its potential for exponential growth and as a leading export category for the Australian economy.
“The Australian spirits industry is so dynamic right now; not only have we seen Australian distilleries grow from just 28 to more than 400 since 2014, but we’re also seeing Australian spirits brands receive widespread international acclaim and expansion of Australian spirits in overseas markets,” said McPherson.
Mr Black is joining Diageo's line-up alongside fellow Australian Bundaberg Rum, and the acquisition is the fourth Distill Ventures program exit to Diageo and the first Australian brand to do so.
Mr Black is currently available in 22 countries including Australia, the United Kingdom, and the United States – which is its largest market. The acquisition was funded through existing cash resources.
