Digital Wine Ventures is up by 120pc in a month after striking two big deals in a week
Food & Agriculture
Food & Agriculture
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The stock price of Digital Wine Ventures(ASX:DW8) has continued its rise, climbing by another 10 per cent yesterday. The stock price is now up 120 per cent in one month, and a whopping 1,500 per cent in the last 12 months.
The catalyst for yesterday’s rise was its announcement of a tie-up with Bibendum Wine Co.
Under the agreement, Bibendum will offer its products via WineDepot Market, and introduce thousands of trade buyers to WineDepot. In return, WineDepot will release incentives to trade buyers, and leverage its technology to onboard Bibendum buyers. Bibendum has also agreed to use WineDepot’s logistics services as part of its third-party storage and delivery fleet.
The agreement follows another strategic deal the company struck with eBay a few days ago, in which WineDepot’s wines will be offered to eBay’s 12 million customers.
Bibendum is one of Australia’s most successful fine wine and beverage distribution businesses, with a strong focus on imports of highly sought-after ultra-premium labels from Australia, New Zealand, France, Italy, Spain, and South Africa to name a few.
It represents over 160 local and international wine producers, in addition to a wide range of craft spirits from countries such as the UK, Scotland, Ireland, Japan, USA, and Australia – which are sold via their Bibendum Bar business.
The deal will bolster WineDepot’s product range, by adding Bibendum Bar’s products to WineDepot’s offering.
Bibendum’s owner, Robert Walters, is the founder of Place of Changing Winds, an organic vineyard located in Victoria, and also a co-founder of Wine Planet, Australia’s first publicly listed online wine business acquired by a subsidiary of Fosters in 2001.
Digital Wine Ventures CEO, Dean Taylor, says the deal will drive awareness to the WineDepot marketplace.
“This partnership allows us to leverage Bibendum’s unique product range, highly experienced sales force, long-term customer relationships and revered presence within the industry to drive rapid awareness of the benefits that our marketplace provides to trade buyers.”
“Their powerful influence over key stakeholders within the wholesale buying community should allow us to develop a powerful audience of qualified buyers to drive sufficient demand to support the hundreds of suppliers on the other side of the marketplace,” he added.
Digital Wine Ventures has seen its revenues jump by over 1,000 per cent in the half year ending 31 December, to almost $1 million.