Vintage Wine Estates announces sale of Tenma Vineyard

Vintage Wine Estates reported the sale of the Tenma Vineyard in Calistoga, California. On March 2, the company completed the sale of the entire 42 acres of the Tenma Vineyard for net cash proceeds of approximately $11M. Proceeds from the sale will be used to reduce outstanding debt. Subsequent to this sale, the company owns and leases approximately 2,400 total vineyard acres of which the company owns approximately 1,600 vineyard acres. In conjunction with the sale of the vineyard, VWE entered into a grape purchase agreement for up to 15 tons of cabernet sauvignon grapes per year at no cost in the first year. In addition, the company has licensed the rights to the Tenma Vineyard brand and trademark. Jon Moramarco, Interim CEO, commented, "The Tenma Vineyard sale demonstrates our ongoing commitment to monetize assets in an effort to reduce debt and provide us with additional financial flexibility. We will continue to pursue more of these initiatives where the economics are beneficial, as part of our recently announced business realignment plan."