Shares of Brown-Forman had their best day in years on Thursday, after the U.S.-based spirits seller Sazerac reportedly expressed interest in doing a deal of some kind with the maker of Jack Daniel's.
Interest comes as Pernod Ricard has been discussing a mostly stock deal with Brown-Forman.
Brown-Forman and Pernod Ricard are in acquisition talks, potentially creating a global spirits powerhouse to rival Diageo. Both BF.B and PRNDY have seen significant share price declines and now trade at comparable valuation multiples. Synergies from a potential deal would be substantial, and the two businesses complement each other both geographically and from a brand perspective.
Shares in the French distiller initially fell on reports of talks with ts Kentucky-based peer, but investors changed their minds after the companies confirmed the talks.
The two companies are discussing a deal that is mostly stock and could be weeks away.
Shares of Brown-Forman surged, after Bloomberg reported that Pernod Ricard was looking into a potential acquisition of the Jack Daniel's whiskey parent.