Diageo acquires female-owned, super-premium flavoured tequila brand, 21Seeds
31 March 2022: Today, Diageo announces it has acquired 21Seeds, a rapidly growing flavoured tequila infused with the juice of real fruits. The brand is available in three varieties: Valencia Orange, Grapefruit Hibiscus and Cucumber Jalapeño.
21Seeds was founded in 2019 by three female entrepreneurs whose vision was to create great-tasting, smooth spirits with light touch flavour that are easy to mix and enjoy. The founders, Kat Hantas, Nicole Emanuel and Sarika Singh, who have also been operating the business, will continue to actively work on 21Seeds, collaborating closely with the Diageo North America team and helping to build further on the brand’s success.
21Seeds is a fast-growing flavoured tequila infused with the juice of real fruits. Taking inspiration from the tequila cocktails the founders long enjoyed making for themselves and their friends, the brand has successfully tapped into a variety of consumer trends such as flavoured tequila, simple at-home cocktails, and an interest in quality premium spirits. And with an ABV of 35%, each variant can be mixed into easy-to-make, spritz-style cocktails such as the brand’s signature serve, the ‘Seed and Soda’.
In the United States, the tequila category is growing at 16%: more than three times as fast as total spirits. Within the category, the small but emerging flavoured tequila segment grew over 20% from 2019 to 2020, with super-premium flavoured tequila growing 65% over the same period.
Debra Crew, President, North America, commented: “21Seeds is one of the fastest-growing brands in the increasingly popular flavoured tequila segment and we are delighted to welcome it into our tequila portfolio. This acquisition is in line with our strategy to acquire high growth brands in fast growing categories. It is particularly special to me given Diageo’s longstanding commitment to champion inclusion and diversity, and we look forward to working with this dynamic trio of female entrepreneurs to continue growing 21Seeds.”
Kat Hantas, Co-founder, 21Seeds, said: “We created 21Seeds because, quite simply, it’s what we wanted to drink – something casual that made drinking tequila cocktails as approachable as a glass of wine or beer. It’s been a thrill to watch consumers embrace our brand, and we are excited about the future for 21Seeds with Diageo’s resources and capabilities behind it.”
The acquisition has been funded through existing cash resources.
1,2,3,4 IWSR, 2020: 2019-2020 volume
Diageo is a global leader in beverage alcohol with an outstanding collection of brands including Johnnie Walker, Crown Royal and JεB whiskies, Smirnoff, Cîroc and Ketel One vodkas, Captain Morgan, Baileys, Don Julio, Tanqueray and Guinness.
Diageo is a global company whose products are sold in more than 180 countries around the world. The company is listed on both the London Stock Exchange (DGE) and the New York Stock Exchange (DEO). For more information about Diageo, our people, our brands, and performance, visit us at www.diageo.com. Visit Diageo’s global responsible drinking resource, www.DRINKiQ.com, for information, initiatives and ways to share best practice.
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21Seeds is an award-winning flavoured tequila infused with the juice of real fruits. The brand was founded by two sisters and one friend because they believe 21Seeds is exactly what many of today’s consumers are looking for: tequila with light touch flavor that drinks as smoothly as a glass of wine.
To create 21Seeds, the founders partnered with a female-led distillery in Jalisco – dotting back to the brand’s core value of prioritizing women in business. All three 21Seeds’ infusions have an ABV of 35% and are ideal for easy, three ingredient cocktails for the at-home and professional mixologist alike.
21Seeds can be found nationwide in the United States at major national and regional retail chains, as well as online through Drizly, Instacart and ReserveBar among other delivery services. To learn more about the company, our easy at-home cocktails, and store locations, visit us at www.21Seeds.com or follow us on Instagram @21Seeds.