Treasury Wine Estates, the Australian producer behind Penfolds, is acquiring Daou Vineyards in California for over $1 billion, signaling a strategic pivot toward premium U.S. wines. With $900 million upfront and $100 million in potential earn-outs, the deal aims to capitalize on America’s growing preference for upmarket wines. This move also mitigates risks tied to Australia’s reliance on Chinese wine exports, reinforcing Treasury’s foothold in less volatile markets.
