Scottish gin brand sold as new owner looks to boost sales

been urged nesses seen as not part of its core activities by chief executive Antonio HortaOsorio, while boosting its capital in preparation for an eventual sale of the government’s stake.

The bank said earlier this week that it was selling its lossmaking international co and Zurich. Lloyds also raised about £500m last week by selling another 15 per cent of its stake in UK wealth manager St James’s Place. The bank sold a total of £6.3bn of non-core assets this year.

Horta-Osorio has said he expects to A FAST-growing Scottish gin and vodka brand has been bought in a move aimed at accelerating its sales in the UK and overseas.

Blackwood’s, which uses plant extracts such as angelica and wild water mint grown by crofters on Shetland, has been sold by administrators to drinks distributor Blavod.

Blackwood Distillers was founded in Lerwick in 2002 with a view to setting up Shetland’s first whisky distillery using funds raised by sales of gin and vodka distilled at an undis- closed location on mainland.

Aim-listed Blavod, which already owns licences to distribute Blackwood’s along with sister brands Jago’s vodka liqueur and Diva vodka, yesterday said it had reached agreement with the administrator of the Shetland Spirit Company for early exercise of an option to acquire the Blackwood’s brands for £50,000.

In the year ended 31 March 2012, the Blackwood’s licence was responsible for £358,000 of sales net of duty.

Don Goulding, executive chairman of Blavod and a former Diageo UK managing director, said Blackwood’s was the firm’s “number one profit contributor”.

“The acquisition of this brand together

the

Scottish with Diva and Jago’s provides us with the platform and incentive to accelerate further growth of these brands in the UK and internationally.”

Last year Blavod unveiled a contract to supply the gin to 188 Tesco supermarkets in England and Wales. The deal follows on from the firm’s existing contract to supply the gin to Tesco outlets north of the Border. The drink has also proved popular in Spain and has recently started to be sold in Portugal and Switzerland.

Goulding has said that America was the next key focus for the company.

Gin has enjoyed a renaissance in recent years, with Glenfiddich distiller William Grant & Sons launching its Hendrick’s brand and Sheep Dip whisky-maker Spencerfield Spirit introducing its Edinburgh Gin. Scotland accounts for 80 per cent of the UK’s gin and vodka production, generating £184m a year. reduce non-core assets to below £70bn by the end of 2014. As part of the latest deal, Goldman Sachs bought £170m worth of residential mortgage-backed securities for about £200m in cash.

The Lloyds TSB Group Pension Trust also exited its share of the portfolio, bringing the trust a pre-tax gain of £360m and reducing its deficit. The bank said it expected to complete the transaction next week.

Both Lloyds and RBS reassured investors last week that they would not have to tap them for further capital to bolster their balance sheets.

Lloyds declined to comment on reports last night that it was looking to sell an estimated £329m tranche of shipping loans as it continues to shrink its non-core portfolio.