Early days The company was established in 1945 by
Marvin Sands in the
Finger Lakes region of New York as
Canandaigua Industries, selling bulk wine to bottlers in the eastern United States. In its first year, the company sold approximately 200,000 gallons of wine and had gross sales of $150,000. The company was incorporated as Canandaigua Wine Company, Inc. in 1972 and went public in 1973. Marvin's son
Richard Sands became president in 1993 and CEO in 1996.
Expansion In 2000, the company changed its name to Constellation Brands, Inc. to reflect the scope of the company and its range of brands. During the 2000s, there were multiple acquisitions, with some divestments later in the decade. Acquisitions included
BRL Hardy (Australia) and
Nobilo (New Zealand) in 2003;
Robert Mondavi Corp. for $1 billion in 2004; Vincor International, Canada's largest wine company, for $1.44 billion in 2006; Spirits Marque One (owner of Svedka Vodka) in 2007; and Beam Wines Estates, the wine operations of
Fortune Brands (which included several major brands such as Clos du Bois) for $885 million in 2008. The company later moved to a more premium wine portfolio, divesting
Almaden Vineyards,
Inglenook Winery, and the Paul Masson winery in
Madera, California, in 2008, and its value spirits portfolio to the
Sazerac Company in 2009. They sold 30 low-cost wine labels in January 2021 to E. & J. Gallo for $810 million including
Clos du Bois. In 2013, Constellation acquired Grupo Modelo's US beer business from
Anheuser-Busch InBev, who were required to divest the business as a part of an anti-trust settlement permitting Anheuser-Busch InBev to acquire Grupo Modelo. Constellation had formerly imported Corona and other Modelo brands to the United States. The transaction included full ownership of Crown Imports LLC, which provided Constellation with complete, independent control of all aspects of the US commercial business; a brewery in Mexico; an exclusive perpetual brand license in the US to import, market and sell Corona and the Modelo brands and the freedom to develop brand extensions and innovations for the US market. In 2014, Constellation finalized a joint venture with
Owens-Illinois and completed the acquisition of Anheuser-Busch InBev's glass production plant, located adjacent to the company's brewery in
Nava, Mexico. In December 2015, Constellation announced the $1 billion acquisition of
Ballast Point Brewing of San Diego. In October 2016, Constellation announced the $160 million acquisition of High West Distillery of
Park City, Utah. In August 2017, Constellation announced the acquisition of Funky Buddha Brewery of Oakland Park, Florida. In April 2018,
Accolade Wines (acquired under the name BRL Hardy) was sold to private equity firm
The Carlyle Group. Constellation had already in 2011 reduced its holdings in Accolade to 20%. In February 2019, Constellation announced it had acquired a minority stake in Black Button Distilling, a craft spirits distillery in Rochester, NY. In April 2019, Constellation announced a deal to sell wine brands, including Clos du Bois and Mark West, to
E. & J. Gallo Winery for $1.7 billion. In July 2019, Constellation announced it had acquired a minority stake in Montanya Distillers, a craft-rum distillery in
Crested Butte, Colorado and a majority stake in Nelson's Green Brier Distillery, a revival of the original Green Brier Tennessee Whiskey and Belle Meade Bourbon labels in Nashville, TN. In December 2019, the sale of
Ballast Point Brewing to Kings & Convicts Brewery of Illinois was announced. Terms were not disclosed. In July 2020, Constellation Brands acquired
Empathy Wines, co-founded by entrepreneur
Gary Vaynerchuk. On September 15, 2020, it was announced Constellation Brands acquired craft spirits producer
Copper & Kings American Brandy. In February 2022, Constellation was reported to have approached
Monster Beverage to enter into a merger with a combined valuation above $90 billion. In 2023, Constellation Brands sold Funky Buddha back to its founders. On June 24, 2024, Constellation Brands re-located its headquarters to a 170,000 square foot campus on the site of the historic Aqueduct Building in
Downtown Rochester, the first Fortune 500 company to operate in the city in two decades.
Cannabis In 2017, the company began investing in medical marijuana. In March 2019, Bill Newlands became CEO. In October 2017, Constellation agreed to pay about C$245 million ($191 million) for a 9.9% stake in
Canopy Growth Corporation, a Canadian seller of medicinal-marijuana products. At the time of the agreement, Constellation became the first Fortune 500 company and the first major alcoholic beverage maker to take a minority stake in a marijuana business. In August 2018, the company announced that it would invest an additional US$4 billion in Canopy Growth Corporation in advance of the legalization of recreational
cannabis in Canada in October that year. The investment will increase its share in the Canadian Company to 38%. Canopy Growth president Bruce Linton said the additional funds would be used for international expansion and that future marketing plans included products such as cannabis-infused beverages and sleep aids. Since 2023, Constellation started stepping back from the cannabis-infused drinks market. The company reduced its stake in Canopy Growth Corporation and signalled that it could withdraw completely. ==Controversies==