Sale of Napa Valley Silverado Vineyards to Foley Family Wines of Sonoma County

Foley Family Wines would buy Silverado Vineyards in Napa Valley for an estimated price of $150 million, according to a industry publication.

wine spectator reported on Tuesday that the Santa Rosa-based wine company has reached an agreement to acquire the Stags Leap District winery along Silverado Trail along with 300 acres of vineyards. Foley Family Wines told the Business Journal that it “does not comment on speculation or rumored acquisitions.”

The winery produces about 68,000 cases a year, priced at $25 to $125 a bottle, according to the magazine.

If completed, the acquisition would follow Foley’s purchase of Chateau St. John in the Sonoma Valley late last year and the deal for Ferrari-Carano Vineyards & Winery in the county’s Dry Creek Valley. of Sonoma in 2020.

Bill Foley, a senior board member of Fidelity National Financial and Fidelity National Information Services, started what is now called Foley Family Wines 26 years ago. Today, his operations include approximately two dozen wineries in Napa and Sonoma counties, California’s central coast, Washington, Oregon and New Zealand. Those in Napa Valley are currently Foley Johnson, Merus and Kuleto.

“For a long time, Bill was looking for the right person, and I think he found it,” said Mario Zepponi, whose Santa Rosa-based beverage industry M&A firm advises on a number agreements on the west coast.

Key features Foley’s team are looking for are a production winery in a notable appellation and Silverado’s tasting room along Napa Valley’s main thoroughfare Silverado Trail, said Zepponi, whose business is not not involved in this agreement.

Although he declined to confirm the advertised purchase price, Zepponi said it was likely based more on the value of the real estate — particularly the vineyards — than the brand.

“The branding behind Silverado Vineyards is still ongoing,” Zepponi said. “It was always known for its white wines, then changed its name to focus on Cabernet Sauvignon.”

He noted the brand was a key factor in February’s $250 million sale price for Shafer Vineyards, a 36,000-case-a-year Napa Valley producer whose Hillside Select cabin sold out last fall. at $325 a bottle.

While global economic and supply chain uncertainties caused by the Russian-Ukrainian conflict have slowed the pace of deals for many European players for US wine properties, this is shaping up to be an active “deal season” in the coming months, Zepponi said.

“I think we’ll see a lot more on the north coast and the west coast,” he said.

Silverado was launched in 1981 by Ron and Diane Miller, CEOs of the Walt Disney Company until his departure in 1984 and one of Walt Disney’s daughters, respectively. Ron Miller died in 2019 and Diane Disney Miller in 2013.

Jeff Quackenbush covers wine, construction and real estate. Before joining the Business Journal in 1999, he wrote for Bay City News Service in San Francisco. Contact him at [email protected] or 707-521-4256.

Update, June 22, 2022: Mario Zepponi’s company is not involved in the Foley-Silverado deal.

Shirley M. Pinder