Origin Wine buys Orbital assets

07 February, 2008

Administrators dealing with the sale of Orbital Wines have sold its assets to Origin Wine.

Bernard Fontannaz, managing director of South African-based Origin, said he was "very excited" about taking on Orbital's brands, which include Stormhoek and Camden Park, stock worth around 1.9 million and the company's order book.

He said: "The brands are very well established and we are looking forward to working with them."

There were hopes that Orbital, which went into administration last December, would be sold as a going concern, but Fontannaz said he did not want to take on the whole business as Origin has an established office in the UK.

"It was a more efficient option for us. We don't want the whole company, because we already have our own," he said.

Fontannaz said Origin was already planning marketing activity for the brands to "get them back on track".

Administrator Menzies was called in after Orbital started suffering financially last year. The business had been experiencing cashflow problems and, despite award-winning marketing for its brands, had struggled to achieve the listings and sales that matched the publicity the wines received.

A number of bids were received before it was decided Origin was the preferred.

Origin Wine's Du Toitskloof cooperative produces Fairtrade brand, Fairhills as well as supplying wine to Kumala.

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