Drinks Americas, Interscope Geffen to partner
Drinks Americas Holdings, a leading developer and marketer of premium beverages associated with renowned icons, has entered into a partnership agreement with Interscope Geffen A&M, part of Universal Music Group, the world's largest music company, for the joint development of new products.
Under the agreement, the 50/50 partnership will seek to identify, develop, commercialize and market jointly-owned alcoholic and non-alcoholic beverage products in collaboration with Interscope Geffen A&M artists. The move marks the first time a record label has partnered directly with a beverage company for an equity stake in new products jointly developed. Interscope Geffen A&M will work to sign and negotiate with selected artists, and to assist in the marketing and promotion of the new beverages. Additionally, Interscope Geffen A&M has agreed to assist in marketing and promoting Drinks Americas' current and growing portfolio of products, including Donald Trump's Trump Super Premium Vodka and Willie Nelson's Old Whiskey River Bourbon. Interscope Geffen A&M manages a number of leading artists across a range of musical genres, including Eminem, Dr Dre, Snoop Dogg, 50 Cent, Busta Rhymes, Sheryl Crow, Enrique Iglesias, Gwen Stefani, and many others. Patrick Kenny, president & CEO of Drinks Americas, said: Our new partnership with Interscope Geffen A&M is very exciting and a major milestone for both companies and industries, as we leverage this marketing innovation with the multi-billion dollar music industry. There is a large opportunity here for both companies to generate substantial incremental revenue and profits and create valuable assets for both companies. Drinks Americas and Interscope Geffen A&M are focused on creating and growing these large and valuable assets in the form of exciting, viable, and high-end premium beverage brands to be marketed on a worldwide basis. One only needs to take note of the huge purchase prices recently paid by large beverage companies for new, icon associated and proven brands to see the tremendous potential in the products to be developed through our venture with Interscope Geffen A&M. Mr Kenny continued: Our partnership provides us with a marketing platform to drive awareness of our premium icon brands through events, such as music videos, concert tours, album kick-off parties and other countless ways that cut across all media forums. With our growing success, it is a natural fit to partner with the world's largest music company. What makes this partnership extraordinary is Interscope Geffen A&M's rich portfolio of iconic artists that appeal to large constituencies worldwide. We have already begun discussions with several of their artists and expect to reach a formal agreement for the first of the new products within the next several weeks. We are working with selected artists to acquire and grow existing brands, and with others to create exciting new products. We would expect to see these new products coming to market in the very near term. Steve Berman, president, marketing and sales, Interscope Geffen A&M, added: Drinks Americas has done an incredible job of connecting icons with a new audience. They open a new lane for us and our roster of talent. We're looking forward to working hand in hand with them on a variety of upcoming products and opportunities.