VALANDRAUD - COMTE VOGUE CHAMBOLLE MUSIGNY - LUNE ARGENT - GRAND PUY LACOSTE - ECHO LYNCH BAGES - DRC ROMANEE CONTI - GUIGAL COTE ROTIE LANDONNE - RUINART DOM RUINART GIACOMO CONTERNO BAROLO CASCINA FRANCIA - RIOJA ALTA RIOJA GRAN RESERVA 904 - DUHART - COMTES LAFON MEURSAULT GOUTTE D'OR - LEOVILLE LAS CASES - CANON GAFFELIERE CANTEMERLE MILON - CECILIA BERETTA VALPOLICELLA CLASSICO SUPERIORE TERRE DI CARIANO - CHAPOUTIER CHAPELLE AUSONE - DRC ECHEZEAUX - FLEUR PETRUS GRUAUD LAROSE - BRANE CANTENAC - ERMITAGE MEAL - GUIGAL COTE ROTIE TURQUE - JOSEPH FAIVELEY MAZIS CHAMBERTIN - LEOVILLE CHAPELLE MISSION - CLINET - DRAGON QUINTUS - ORMES PEZ - OPUS ONE - DOMAINE LEFLAIVE BARTON - TORBRECK RUN RIG - GUSBOURNE BLANC DE BLANCS - PONSOT CHAPELLE CHAMBERTIN CHEVALIER MONTRACHET - LASCOMBES - DUJAC CLOS ROCHE - TERTRE ROTEBOEUF - BOLLINGER VV - DRC RICHEBOURG - LYNCH BAGES - BOUTISSE - DUCRU BEAUCAILLOU - MEYNEY - PETIT MOUTON FRANCAISES - PAGODES COS - RONAN BY CLINET - MISSION HAUT BRION - CHENADE - GAJA COSTA - DOMAINE LEFLAIVE BATARD MONTRACHET - TROTTEVIEILLE - PELICAN ARBOIS SAVAGNIN OUILLE RUSSI - FOURRIER GEVREY CHAMBERTIN CLOS ST JACQUES - LOUIS ROEDERER CRISTAL ROSE - - MIRAVAL COTES DE PROVENCE ROUGE - BEAUSEJOUR DUFFAU - PONSOT CLOS ROCHE VV DOMINUS - CHAPOUTIER ERMITAGE BLANC OREE - PAUL JABOULET AINE HERMITAGE CHAPELLE - - SASSICAIA - LAMBRAYS CLOS LAMBRAYS - POUJEAUX - DOMAINE LEFLAIVE BIENVENUES BATARD FELTON ROAD RIESLING DRY - CANON (SAINT EMILION) - CLARENCE HAUT BRION - FELTON ROAD MONTRACHET - LATOUR - ARMAND ROUSSEAU CHARMES CHAMBERTIN - MOET & CHANDON PINOT NOIR BLOCK 5 - SMITH HAUT LAFITTE - COS D'ESTOURNEL - LEOVILLE POYFERRE - PINGUS DOM PERIGNON - DOMAINE LEROY CLOS VOUGEOT - BAHANS HAUT BRION - BENJAMIN HENRI JAYER NUITS SAINT GEORGES MURGERS - GEORGES ROUMIER CHAMBOLLE MUSIGNY LEROUX PULIGNY MONTRACHET CHAMP GAIN - MASSETO - MICHEL OGIER COTE ROTIE CRAS - RAUZAN SEGLA - BRUNO GIACOSA BAROLO FALLETTO - DUJAC ECHEZEAUX - - GAJA SORI SAN LORENZO - GAZIN (POMEROL) - TUA RITA REDIGAFFI - LAVILLE HAUT DOMAINE JEAN-LOUIS CHAVE HERMITAGE BLANC - CARRUADES LAFITE - VIEUX CHATEAU BRION - FARGUES - BIONDI SANTI BRUNELLO MONTALCINO RISERVA - SAINTAYME CERTAN - LAFLEUR - JACQUES FREDERIC MUGNIER CHAMBOLLE MUSIGNY - PENFOLDS GRANGE - GEORGES NOELLAT NUITS SAINT GEORGES CRAS - HARLAN AMOUREUSES - PALMER - CHEVAL BLANC - ARROSEE - JOSEPH DROUHIN BONNES PROPRIETARY RED - FELTON ROAD RIESLING BLOCK 1 - JOSEPH FAIVELEY MARES - BOLLINGER RD - JACQUES FREDERIC MUGNIER MUSIGNY - VOUGERAIE CHAMBERTIN CLOS DE BEZE - ARLOT ROMANEE SAINT VIVANT - CLOS ST JEAN BONNES MARES - LOUIS ROEDERER CRISTAL - TALBOT - PETIT VILLAGE - GUIGAL CHATEAUNEUF DU PAPE DEUS EX MACHINA - EVANGILE - PONSOT GRIOTTE COTE ROTIE MOULINE - JOSEPH DROUHIN MUSIGNY - HAUT BATAILLEY - CHAMBERTIN - CLOS PAPES CHATEAUNEUF DU PAPE - BEYCHEVELLE - CLOS ARMAND ROUSSEAU CHAMBERTIN - CHAPOUTIER ERMITAGE PAVILLON - FOURTET - TAITTINGER COMTES CHAMPAGNE - FELTON ROAD PINOT NOIR AUSONE - ROCHE BELLENE CLOS ROCHE - PICHON LALANDE - FRATELLI CORNISH POINT - DOMAINE LEROY CORTON CHARLEMAGNE - FELTON ROAD ALESSANDRIA BAROLO GRAMOLERE - PEDESCLAUX - BRANCAIA BLU - PINOT NOIR CALVERT - JOSEPH DROUHIN GRIOTTE CHAMBERTIN - KRUG BRUNO GIACOSA BARBARESCO ASILI - CROIX BEAUCAILLOU - DOME - VINTAGE BRUT - MOET & CHANDON DOM PERIGNON ROSE - TIGNANELLO COMTE VOGUE CHAMBOLLE MUSIGNY 1ER CRU - HAUT BRION - - BASSERMANN JORDAN JESUITENGARTEN GROSSES GEWACHS - PICHON SCREAMING EAGLE - TAITTINGER COMTES CHAMPAGNE ROSE - DOMAINE BARON - MALARTIC LAGRAVIERE - DOMAINE LEROY VOSNE ROMANEE LEROY NUITS SAINT GEORGES BOUDOTS - DOMAINE JEAN-LOUIS CHAVE BEAUMONTS - ECHO LYNCH BAGES - DRC ROMANEE CONTI - GUIGAL HERMITAGE - CLOS MARQUIS - FREDERIC MAGNIEN GEVREY COTE ROTIE LANDONNE - RUINART DOM RUINART - COMTES LAFON CHAMBERTIN CAZETIERS - POL ROGER SIR WINSTON CHURCHILL - PAVIE MEURSAULT GOUTTE D'OR - LEOVILLE LAS CASES - CANON GAFFELIERE MACQUIN - LAFITE ROTHSCHILD - SOLAIA - BEAUCASTEL CHATEAUNEUF - CANTEMERLE - CHAPELLE AUSONE - DRC ECHEZEAUX - FLEUR PETRUS DU PAPE - QUINAULT L'ENCLOS - MOUTON ROTHSCHILD - SUDUIRAUT - - GRUAUD LAROSE - BRANE CANTENAC - CHAPELLE MISSION - CLINET MALARTIC LAGRAVIERE BLANC - GAJA BARBARESCO - PHILIPPONNAT - DRAGON QUINTUS - ORMES PEZ - OPUS ONE - DOMAINE LEFLAIVE CLOS GOISSES BRUT - ANGELUS - DOMAINE CHEVALIER - CHEVALIER MONTRACHET - LASCOMBES - DUJAC CLOS ROCHE MONTLANDRIE - COMTES LAFON MEURSAULT CHARMES - SALON - TERTRE ROTEBOEUF - BOLLINGER VV FRANCAISES - PAGODES COS MESNIL - PETRUS - CONSEILLANTE - HENSCHKE HILL OF GRACE SHIRAZ - RONAN BY CLINET - MISSION HAUT BRION - CHENADE - GAJA COSTA - SAN GIUSTO PERCARLO - PONTET CANET - FELTON ROAD PINOT NOIR RUSSI - FOURRIER GEVREY CHAMBERTIN CLOS ST JACQUES - LOUIS BANNOCKBURN - MONTROSE - PIN - BRUNO GIACOSA BAROLO ROEDERER CRISTAL ROSE - DOMINUS - CHAPOUTIER ERMITAGE BLANC ROCCHE FALLETTO - GIACOMO CONTERNO BAROLO RISERVA OREE - PAUL JABOULET AINE HERMITAGE CHAPELLE - FELTON ROAD MONFORTINO - PEBY FAUGERES - CHAPOUTIER ERMITAGE BLANC RIESLING DRY - CANON (SAINT EMILION) - CLARENCE HAUT BRION ERMITE - PAVIE - CLARENDON HILLS ASTRALIS SHIRAZ - CASANOVA DI - FELTON ROAD PINOT NOIR BLOCK 5 - SMITH HAUT LAFITTE - COS NERI BRUNELLO MONTALCINO TENUTA NUOVA SAINT PIERRE - VEGA D'ESTOURNEL - LEOVILLE POYFERRE - PINGUS - HENRI JAYER NUITS SICILIA UNICO - MARGAUX - TORTOCHOT CHAMBERTIN - BOLLINGER SAINT GEORGES MURGERS - GEORGES ROUMIER CHAMBOLLE GRANDE ANNEE - COUTET (BARSAC) - ARMAND ROUSSEAU GEVREY MUSIGNY CRAS - RAUZAN SEGLA - BRUNO GIACOSA BAROLO CHAMBERTIN CLOS ST JACQUES - CLERC MILON - CHAPOUTIER FALLETTO - DUJAC ECHEZEAUX - DOMAINE JEAN-LOUIS CHAVE ERMITAGE ERMITE - HOSANNA - HAUT BAILLY - COLGIN IX PROPIETARY HERMITAGE BLANC - CARRUADES LAFITE - VIEUX CHATEAU CERTAN RED - GAJA SPERSS - DRC TACHE - COMTE VOGUE CHAMBOLLE - LAFLEUR - JACQUES FREDERIC MUGNIER CHAMBOLLE MUSIGNY MUSIGNY AMOUREUSES - TRAPET PERE ET FILS LATRICIERES AMOUREUSES - PALMER - CHEVAL BLANC - ARROSEE - JOSEPH CHAMBERTIN - BEAUCASTEL CHATEAUNEUF DU PAPE HOMMAGE J DROUHIN BONNES MARES - BOLLINGER RD - JACQUES FREDERIC PERRIN - JOSEPH PHELPS INSIGNIA - PONSOT CLOS VOUGEOT - BIONDI MUGNIER MUSIGNY - VOUGERAIE BONNES MARES - LOUIS ROEDERER SANTI BRUNELLO MONTALCINO - EMMANUEL ROUGET VOSNE CRISTAL - TALBOT - PETIT VILLAGE - GUIGAL COTE ROTIE MOULINE ROMANEE CROS PARANTOUX - PETIT CHEVAL - PONSOT CLOS - JOSEPH DROUHIN MUSIGNY - HAUT BATAILLEY - ARMAND ROUSSEAU VOUGEOT VV - EGLISE CLINET - FORTS LATOUR - RIEUSSEC - CALON CHAMBERTIN - CHAPOUTIER ERMITAGE PAVILLON - AUSONE - ROCHE SEGUR - GEORGES ROUMIER BONNES MARES - DUJAC CLOS SAINT BELLENE CLOS ROCHE - PICHON LALANDE - FRATELLI ALESSANDRIA DENIS - FIGEAC - YQUEM - HENRI JAYER VOSNE ROMANEE - RESERVE BAROLO GRAMOLERE - PEDESCLAUX - BRANCAIA BLU - BRUNO COMTESSE - TRAPET PERE ET FILS CHAMBERTIN - SCARECROW GIACOSA BARBARESCO ASILI - CROIX BEAUCAILLOU - DOME - COMTE CABERNET SAUVIGNON - CRUZELLES - MONDOTTE - BRANAIRE DUCRU VOGUE CHAMBOLLE MUSIGNY 1ER CRU - HAUT BRION - SCREAMING DOMAINE ROTHSCHILD & CONCHA Y TORO ALMAVIVA - COMTE VOGUE BONNES EAGLE - TAITTINGER COMTES CHAMPAGNE ROSE - DOMAINE LEROY MARES - TROTANOY - GAY - JANASSE CHATEAUNEUF DU PAPE VV - NUITS SAINT GEORGES BOUDOTS - DOMAINE JEAN-LOUIS CHAVE PEGAU CHATEAUNEUF DU PAPE LAURENCE - JEAN-JACQUES HERMITAGE - CLOS MARQUIS - FREDERIC MAGNIEN GEVREY CONFURON ROMANEE SAINT VIVANT - CLIMENS - ORNELLAIA - CHAMBERTIN CAZETIERS - POL ROGER SIR WINSTON CHURCHILL DOMAINE LEROY NUITS SAINT GEORGES LAVIERES - PAPE CLEMENT - - PAVIE MACQUIN - LAFITE ROTHSCHILD - SOLAIA - BEAUCASTEL CLOS DE TART BERNARD DUGAT-PY CHAMBERTIN - FOURRIER GRIOTTE CHAMBERTIN CHATEAUNEUF DU PAPE - QUINAULT L'ENCLOS - MOUTON VV - BONNEAU MARTRAY CORTON CHARLEMAGNE - COMTE VOGUE ROTHSCHILD - SUDUIRAUT - MALARTIC LAGRAVIERE BLANC - GAJA MUSIGNY VV - PETER SISSECK (ALNARDO) PSI - DOMAINE LEROY BARBARESCO - PHILIPPONNAT CLOS GOISSES BRUT - ANGELUS VOLNAY SANTENOTS - GIACOMO CONTERNO BAROLO CERRETA - - DOMAINE CHEVALIER - MONTLANDRIE - COMTES LAFON MEURSAULT WINE ANALYSIS PAVILLON ROUGE - TROPLONG MONDOT - JEAN NOEL GAGNARD CHARMES - SALON MESNIL - PETRUS - CONSEILLANTE - HENSCHKE HILL CHASSAGNE MONTRACHET BOUDRIOTTE ROUGEVALANDRAUD - OF GRACE SHIRAZ - SAN GIUSTO PERCARLO - PONTET CANET - FELTON COMTE VOGUE CHAMBOLLE MUSIGNY - LUNE ARGENT - GRAND PUY ROAD PINOT NOIR BANNOCKBURN - MONTROSE - PIN - BRUNO LACOSTE - GIACOMO CONTERNO BAROLO CASCINA FRANCIA - RIOJA GIACOSA BAROLO ROCCHE FALLETTO - GIACOMO CONTERNO ALTA RIOJA GRAN RESERVA 904 - DUHART MILON - CECILIA BERETTA BAROLO RISERVA MONFORTINO - PEBY FAUGERES - CHAPOUTIER VALPOLICELLA CLASSICO SUPERIORE TERRE DI CARIANO - ERMITAGE BLANC ERMITE - PAVIE - CLARENDON HILLS ASTRALIS CHAPOUTIER ERMITAGE MEAL - GUIGAL COTE ROTIE TURQUE - JOSEPH SHIRAZ - CASANOVA DI NERI BRUNELLO MONTALCINO TENUTA NUOVA FAIVELEY MAZIS CHAMBERTIN - LEOVILLE BARTON - TORBRECK RUN - SAINT PIERRE - VEGA SICILIA UNICO - MARGAUX - TORTOCHOT RIG - GUSBOURNE BLANC DE BLANCS - PONSOT CHAPELLE CHAMBERTIN - BOLLINGER GRANDE ANNEE - COUTET (BARSAC) CHAMBERTIN - DRC RICHEBOURG - LYNCH BAGES - BOUTISSE - DUCRU - ARMAND ROUSSEAU GEVREY CHAMBERTIN CLOS ST JACQUES BEAUCAILLOU - MEYNEY - PETIT MOUTON - DOMAINE LEFLAIVE - CLERC MILON - CHAPOUTIER ERMITAGE ERMITE - HOSANNA - HAUT BATARD MONTRACHET - TROTTEVIEILLE - PELICAN ARBOIS SAVAGNIN BAILLY - COLGIN IX PROPIETARY RED - GAJA SPERSS - DRC TACHE OUILLE - MIRAVAL COTES DE PROVENCE ROUGE - BEAUSEJOUR - COMTE VOGUE CHAMBOLLE MUSIGNY AMOUREUSES - TRAPET PERE DUFFAU - PONSOT CLOS ROCHE VV - SASSICAIA - LAMBRAYS CLOS ET FILS LATRICIERES CHAMBERTIN - BEAUCASTEL CHATEAUNEUF DU LAMBRAYS - POUJEAUX - DOMAINE LEFLAIVE BIENVENUES BATARD PAPE HOMMAGE J PERRIN - JOSEPH PHELPS INSIGNIA - PONSOT CLOS MONTRACHET - LATOUR - ARMAND ROUSSEAU CHARMES VOUGEOT - BIONDI SANTI BRUNELLO MONTALCINO - EMMANUEL CHAMBERTIN - MOET & CHANDON DOM PERIGNON - DOMAINE LEROY ROUGET VOSNE ROMANEE CROS PARANTOUX - PETIT CHEVAL CLOS VOUGEOT - BAHANS HAUT BRION - BENJAMIN LEROUX PULIGNY - PONSOT CLOS VOUGEOT VV - EGLISE CLINET - FORTS LATOUR MONTRACHET CHAMP GAIN - MASSETO - MICHEL OGIER COTE ROTIE - - RIEUSSEC - CALON SEGUR - GEORGES ROUMIER BONNES MARES GAJA SORI SAN LORENZO - GAZIN (POMEROL) - TUA RITA REDIGAFFI - - DUJAC CLOS SAINT DENIS - FIGEAC - YQUEM - HENRI JAYER VOSNE LAVILLE HAUT BRION - FARGUES - BIONDI SANTI BRUNELLO ROMANEE - RESERVE COMTESSE - TRAPET PERE ET FILS CHAMBERTIN MONTALCINO RISERVA - SAINTAYME - PENFOLDS GRANGE - GEORGES - SCARECROW CABERNET SAUVIGNON - CRUZELLES - MONDOTTE NOELLAT NUITS SAINT GEORGES CRAS - HARLAN PROPRIETARY RED - - BRANAIRE DUCRU - ROTHSCHILD & CONCHA Y TORO ALMAVIVA FELTON ROAD RIESLING BLOCK 1 - JOSEPH FAIVELEY CHAMBERTIN - COMTE VOGUE BONNES MARES - TROTANOY - GAY - JANASSE CLOS DE BEZE - ARLOT ROMANEE SAINT VIVANT - CLOS ST JEAN CHATEAUNEUF DU PAPE VV - PEGAU CHATEAUNEUF DU PAPE CHATEAUNEUF DU PAPE DEUS EX MACHINA - EVANGILE - PONSOT LAURENCE - JEAN-JACQUES CONFURON ROMANEE SAINT VIVANT GRIOTTE CHAMBERTIN - CLOS PAPES CHATEAUNEUF DU PAPE - - CLIMENS - ORNELLAIA - DOMAINE LEROY NUITS SAINT GEORGES BEYCHEVELLE - CLOS FOURTET - TAITTINGER COMTES CHAMPAGNE - LAVIERES - PAPE CLEMENT - BERNARD DUGAT-PY CHAMBERTIN FELTON ROAD PINOT NOIR CORNISH POINT - DOMAINE LEROY CORTON - FOURRIER GRIOTTE CHAMBERTIN VV - BONNEAU MARTRAY CORTON CHARLEMAGNE - FELTON ROAD PINOT NOIR CALVERT - JOSEPH CHARLEMAGNE - COMTE VOGUE MUSIGNY VV - PETER SISSECK DROUHIN GRIOTTE CHAMBERTIN - KRUG VINTAGE BRUT - MOET & (ALNARDO) PSI - DOMAINE LEROY VOLNAY SANTENOTS - GIACOMO CHANDON DOM PERIGNON ROSE - TIGNANELLO - BASSERMANN CONTERNO BAROLO CERRETA - PAVILLON ROUGE - TROPLONG JORDAN JESUITENGARTEN GROSSES GEWACHS - PICHON BARON - MONDOT - JEAN NOEL GAGNARD CHASSAGNE MONTRACHET MALARTIC LAGRAVIERE - DOMAINE LEROY VOSNE ROMANEE BOUDRIOTTE ROUGEVALANDRAUD - COMTE VOGUE CHAMBOLLE WWW.WINEINVESTMENT.COM BEAUMONTS - ECHO LYNCH BAGES - DRC ROMANEE CONTI - GUIGAL MUSIGNY - LUNE ARGENT - GRAND PUY LACOSTE - GIACOMO COTE ROTIE LANDONNE - RUINART DOM RUINART - COMTES LAFON CONTERNO BAROLO CASCINA FRANCIA - RIOJA ALTA RIOJA GRAN MEURSAULT GOUTTE D'OR - LEOVILLE LAS CASES - CANON GAFFELIERE RESERVA 904 - DUHART MILON - CECILIA BERETTA VALPOLICELLA CANTEMERLE - CHAPELLE AUSONE - DRC ECHEZEAUX - FLEUR PETRUS CLASSICO SUPERIORE TERRE DI CARIANO - CHAPOUTIER ERMITAGE - GRUAUD LAROSE - BRANE CANTENAC - CHAPELLE MISSION - CLINET - Wine as a ‘Passion Asset’
2 +44 (0)207 1000 950 | wineinvestment.com Introduction
Domaine Clos de Tart
Key Information • Owner: Artémis Group • Previous Owner: Mommesin Family • Grand Vin: Clos de Tart Grand Cru • Other wines: La Forge de Tart Premier Cru • AOC: Clos de Tart • Total Annual Production: 2,300-2,500 cases • Classification: Grand Cru since 1939 • Vineyard Area: 7.5 Hectares • Main grape variety: Pinot Noir • Other four Grand Crus in Morey-Saint-Denis AOC: Bonnes Mares, Clos de la Roche, Clos Saint-Denis, Clos des Lambrays • Other Grand Cru Monopoles in Burgundy: Comte Liger Belair Romanee; La Tache, Romanée-Conti (DRC); La Grande Rue Lamarche • Iconic Vintages: 2016, 2015, 2010, 2009, 2005, 2002, 1989, 1985, 1978, 1962, 1945
History Founded in 1411, Clos de Tart had only three owners over nine centuries. As the largest Grand Cru classified property covering 7.53 hectares of vines in Burgundy, the Clos de Tart has never been parcelled out, a highlight that would be greatly appreciated by wine lovers and investors who seek for quality consistency and highly-controlled distribution strategy.
• 1141 - Cisterician nuns from the Tart Abbey acquired the vineyards (later became the Clos de Tart) • 15th Century – The reconstruction of the walls around the vineyard was completed • 1791 - The Clos de Tart was acquired by Nicolas-Joseph Marey, the sole owner of Romanee-Saint-Vivant at the time. • 1932 - The Mommessin family purchased the Clos de Tart during the Great Depression • 2017 - Artemis Group, a family-run investment firm founded by Francois Pinault, has acquired Clos de Tart from the Mommesin family
The Clos de Tart vineyard is wholly owned by Domaine Clos de Tart and therefore classified as a Monopole – a rare occurrence in Burgundy. Clos de Tart is the only Grand Cru Monopole that can be found in Morey-Saint-Denis AOC, Cote d’ Nuits. Other iconic Monopoles include Romanee-Conti and La Tache from Domaine de la Romanee-Conti and La Romanee from Domaine du Comte Liger-Belair.
These benchmark wines enjoy a world class reputation and are amongst the most revered red Burgundies produced. Clos de Tart sits firmly along side them in terms of quality and heritage. Typically, bottles are labelled withthe “monopole” for easy recognition.
3 +44 (0)207 1000 950 | wineinvestment.com Analysis
Market & Vintage Performance
The cumulative returns for older vintages (2002 - 2006) of Clos de Tart have been very strong over the last few years. For example, outstanding 2002 and 2005 vintages have delivered absolute returns of 232.8% and 189.7% respectively over the past 10-years (Exhibit 1). This performance is indicative of the wider market and compared to Bordeaux, Burgundy has seen its overall performance soar to a record high levels. The Burgundy 150 (Liv-Ex’s benchmark index) has consistently outperformed other markets for the past few years.
In the current market environment, it is prudent to adopt a targetted approach when selecting stocks.
Vineyards that can take advantage of higher classification, such as Grand Cru, and operational structure of monopoles have the potential to rise further in value. More importantly, it is not only the older vintages that are improving, modern vintages are gaining momentum as well and the growth is broad-based across the most recent vintages of Clos de Tart.
+44 (0)207 1000 950 | wineinvestment.com 4 Analysis
Development of Brand Francois Pinault, the owner of Chateau Latour, acquired Clos de Tart through the Artemis Groupe which is his family- held investment company. The deal confirmation was announced in July 2017, however, the acquisition price remained unknown to the public. As the holding company of the world’s largest luxury and retail giant, Artemis Groupe is the controlling shareholder of many leading luxury brands including Gucci, Yves Saint Laurent, Bottega Veneta, Balenciaga and Alexander McQueen. Artemis Group also owns Christies auction. With respect to its wine portfolio, Artemis Group has successfully acquired Chateau Latour, Eisele Vineyard, Domain Eugenie, and Chateau Grillet.
Price Expectation/Catalysts Burgundy has convincingly outperformed Bordeaux and the rest of the world wine regions since 2016. (Exhibit 3) In a world where consistent return is still hard to come by; top-quality Burgundy wines offer a very impressive capital appreciation relative to other regions. Importantly, top-level Burgundy producers attract a certain calibre of wine consumer; the wine thinkers and deep-pocketed romantics. Exhibit 3 demonstrates the performance of two other prodigious Grand Cru monopoles; DRC’s La-Tache and Comte Liger-Belair’s La Romanée, which have been amongst the best performing wines from the region. Although, the Clos de Tart Index has performed well, we expect a positive uplift in light of the track record of the new owners.
5 +44 (0)207 1000 950 | wineinvestment.com Analysis
Acquisition of a Grand Cru as a competitive advantage?
Acquisition of a vineyard sometimes can be complex, and it isn’t the answer for every company who wish to gain access to the exceptional terroir of Burgundy, especially of its highly coveted Grand Cru vineyards. But those that can manage the complexity of acquisition by establishing the capabilities and have successful acquisition experience required to explore its full potential for growth can enjoy an enduring competitive advantage.
The Artemis Group, the holding company of Chateau Latour, is safely qualified as such companies with a great reputation as an experienced acquirer and perceived as capable of providing distinctive capabilities for its target vineyards, including Chateau Latour in Bordeaux, Eisele Vineyard in Napa Valley, Chateau Grillet in Rhone Valley and Domaine d’ Eugenie in Burgundy. The decision to add the 18.5-acre Grand Cru Clos de Tart to their roster of world class wineries must have been an easy one…
+44 (0)207 1000 950 | wineinvestment.com 6 Case Studies
Case Study No. 1 Successful acquisition of Chateau Grillet
We studied the impact on value and brand power of one of the group’s previous acquisitions; Chateau Grillet, situated in the Rhone Valley, was purchased by Artemis in 2011. With François Pinault’s vision and the support of Latour’s managing director Frederic Engerer installed as wine maker, Chateau Grillet has undertaken substantial works including operating buildings and equipment renovations at the vineyard to help bring out the best out of the unique terroir, whilst maintaining the winemaking customs of Rhone.
Since its acquisition announcement made in 2011, Chateau Grillet has witnessed significant price increase across most vintages. For example, vintages 2014 and 2012 delivered a return of 71.3% and 56.7% respectively within only one year from 2017. (Exhibit 4) Eisles Vineyard in Napa Valley is another good example which demonstrates the know- how of the group and how they have improved the perception of already well-established wine properties around the world.
Case Study No. 2 Clos Des Lambrays – How has the competition faired?
Key Information
• Owner: LVMH (since April 2014) • Vineyard area: Clos 8.84 hectares (8.66 hectares of which is Clos des Lambrays grand cru) • Main Grape Variety: Pinot Noir • Grand Vin: Clos des Lambrays, Grand Cru • AOC: Morey-Saint-Denis, Cote de Nuits, Burgundy • Annual production: 30,000 bottles
Interestingly enough, Clos des Lambrays, situated next to Clos de Tart in Morey St Denis AOC, was acquired by another French luxury group LVMH in April 2014. As one of the oldest and most prestigious Grand Cru vineyards in Burgundy, the name Clos des Lambrays can be traced back to the year of 1365. Further refined its strategic vision, LVMH added this old Burgundy vineyard to its wine portfolio, which includes many world-famous wineries such as Krug, Dom Perignon, Cheval Blanc and Chateau d’Yquem, to better explore the potential of Clos des Lambrays. Exhibit 5 shows that the post-acquisition performance of Clos des Lambrays has steadily improved, and the average return of these 10 vintages* being evaluated is around 80% since acquisition in 2014.
7 +44 (0)207 1000 950 | wineinvestment.com Case Studies
In conclusion, we believe that potential benefits that Artemis Group could provide for its target vineyards may include:
1. Accelerate market access for the target vineyards 2. Access to Group’s professional global network reaching numerous industry segments 3. Synergies among acquired Artemis Domaines and obtain new growth opportunity
About the author Yijun(Lena) Lu Research Analyst Lena joined Cult Wines in early 2018 having previously completed several internships in the finance industry, including in a venture capital fund and the Investment Banking arm of China Securities, as well as passing her CFA level II Qualifications. The experience in the investment industry combined with her passion for fine wine enables her to view this market with a fresh and unique perspective. In turn, this positions her unequivocally capable of identifying opportunities and risks in this complex market, using quantitative and scientific economic methods.
8 +44 (0)207 1000 950 | wineinvestment.com
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