Bacardi buys out a majority of Jay-Z’s 50% joint venture stake
No price disclosed, but statements suggest $750 million range
Music mogul Jay-Z and a Bacardi Ltd. affiliate have resolved their dispute over their multibillion-dollar cognac joint venture, D’Usse, after months of contentious arbitration and litigation in multiple courts.

The settlement, announced in a press release Friday, calls for an affiliate of the liquor giant to buy out a majority of the rap star’s 50% stake in the cognac company, D’Usse LLC, leaving Bacardi owning at least 75.01% of the business.

Jay-Z, whose given name is Shawn Carter, will retain “a significant ownership stake” through his company SCLiquor LLC, according to the press release. He called the venture “a blessing” in a statement, touting its growth. “I am excited to renew this partnership with Bacardi,” Jay-Z said.

The deal’s other terms weren’t disclosed, but Jay-Z has maintained throughout the public dispute that D’Usse is worth at least $3 billion, and court papers show Bacardi previously rejected his $1.5 billion bid for its 50% stake. The move indicated it agreed with Jay-Z’s proposed valuation, he has claimed.

The press release refers to the cognac maker simply as a “multi-billion dollar brand.” But at a $3 billion valuation, the deal would be worth at least $750 million.

A spokesperson for Bacardi declined to comment on the deal’s details Friday but, in a statement to Bloomberg Law, called Jay-Z “an invaluable partner.”

“We have deep respect for his creativity and business acumen and are proud of our accomplishments in establishing D’Usse as a leader in an exciting and competitive category,” the statement said.

A representative for Jay-Z didn’t immediately respond to requests for additional comment Friday.

SCLiquor has said elsewhere that it believes D’Usse is worth up to $5 billion, including in a sworn declaration by Desiree Perez, the CEO of Jay-Z’s entertainment company, Roc Nation, who serves on the D’Usse board.

The Litigation
The agreement resolves Jay-Z’s demand for a buyout over concerns that Bacardi subsidiary Empire Investments Inc.—which oversees the cognac’s day-to-day operations—was mismanaging the brand by failing to prepare for a surge in consumer demand tied to its rapid growth.

After initial negotiations broke down—with Bacardi offering $500 million for Jay-Z’s interest in the venture and rejecting his $1.5 billion counteroffer for its own stake—the liquor manufacturer won several preliminary rounds in arbitration.

The rapper then took case to court, challenging the composition of the arbitration panel over concerns that one of its members was a racist and another harbored a personal grudge.

SCLiquor also claimed in a separate lawsuit that Bacardi was stonewalling its requests to scour company records for evidence the spirits maker was intentionally running D’Usse into the ground to manipulate its valuation and drive down the buyout price.

Judges in New York and Delaware initially declined to intervene in the arbitration proceedings, although several collateral cases remained pending as of the settlement.

According to the press release, Jay-Z was advised on the deal on the deal by investment banking firm Evercore and three law firms: Paul, Weiss, Rifkind, Wharton & Garrison LLP; Gibson, Dunn & Crutcher LLP; and Reed Smith LLP

 https://news.bloomberglaw .. cognac-venture

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Bump

strongthetruth said Definitely read it. The part about him still owning a significant stake is a lie. He only owned 50% to begin with and sold at least $750 million worth which is at least half of that considering he asked for $1.5 Billion for the whole 50% on the high end. He’s down to 25% at the very most which is unlikely to even be that much. I know math very well.

Yup.

They got him lmao.

He tried to buy out Bacardi half, & they said FOH.

Desire Perez said they believed Dusse to be worth 5 billion. They valued it @ 3 billion. Took his half, plus .01, so now he owns less than half of his share @ 24.99%.

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Dusse only worth 3 billion, & now his share only worth 750 Million.

That's a HUGE L, for someone who wanted to purchase the other half bacardi owned, for 1.5 billion, only to get cut out & left 750 MIL.

Especially when they believed it claimed it was worth 5 billion.

ZigZag said Yup. They got him lmao. He tried to buy out Bacardi half, & they said FOH. Desire Perez said they believed Dusse to be worth 5 billion. They valued it @ 3 billion. Took his half, plus .01, so now he owns less than half of his share @ 24.99%. view image Dusse only worth 3 billion, & now his share only worth 750 Million. That's a HUGE L, for someone who wanted to purchase the other half bacardi owned, for 1.5 billion, only to get cut out & left 750 MIL. Especially when they believed it claimed it was worth 5 billion.

Boy. You dumb.

TheWorldsGr8est said He spent a couple million building the brand with his friends and ends up selling a bulk of his shares for 750 MILLION . All while still retaining a 25% stake in a Multi Billion dollar company for future royalties and another potential large sale down the line is considered a lost to you ???

Yes, because he was supposed to BUY Bacardis half for 1.5 where he makes waaaaaay more.

God damn y'all ignorant as fu*k. Do some research!

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https://www.tmz.com/2022/12/01/jay-z-bacardi-dusse-ownership-war-billion-dollar-offer-rejected/

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Jay-Z wants to sell his D'Ussé cake and eat it too ... at least according to Bacardi, his partners in the top-shelf liquor, who now claim he's trying to double the brand's value and make a bundle. Bacardi's subsidiary, Empire Investments, responded to Jay's lawsuit, and in the docs it says both parties actually had a "handshake deal" last December ... in which Empire agreed to buy Jay's 50 percent stake in the cognac line

Y'all see 750 MIL and think that's a win. But he tried to buy there half & then they took his half.

Are you dumb?

youngcapstar said Boy. You dumb.

This nxgga's erroneous spelling all through the thread gave it away. He's big dumb?

TheWorldsGr8est said He spent a couple million building the brand with his friends and ends up selling a bulk of his shares for 750 MILLION . All while still retaining a 25% stake in a Multi Billion dollar company for future royalties and another potential large sale down the line is considered a lost to you ???

Yes dumb a*s. Read what I said. 750 million when he wanted to buy bacardi out for (1.5 bil) vs. half his ownership being brought & receiving 750 MIL for a company he valued at 5 billion.

Are yall n*ggas stupid? You clearly not business minded.

Let me dumb it down more.

Do you want 750 mil & 24.99% ownership?

OR

Do you want 5 billion & 100% ownership?

TheWorldsGr8est said He spent a couple million building the brand with his friends and ends up selling a bulk of his shares for 750 MILLION . All while still retaining a 25% stake in a Multi Billion dollar company for future royalties and another potential large sale down the line is considered a lost to you ???

At least 750 mil for a brand that he had nothing to do with in the first place...and still is getting paid....all this from a brand ambassador deal..

These cats barely breaking 2gs a month ...talking big sh*t ....

Only on Bx these racist mopes are ridiculous

aaf192020 said This nxgga's erroneous spelling all through the thread gave it away. He's big dumb?

STFU n*gga. It's the spell check & I fixed it sucka

Proffesor X said At least 750 mil for a brand that he had nothing to do with in the first place...and still is getting paid....all this from a brand ambassador deal.. These cats barely breaking 2gs a month ...talking big sh*t .... Only on Bx these racist mopes are ridiculous

DUDE.

fu*kIN READ.

Are yall n*ggas stupid? You clearly not business minded.

Let me dumb it down more.

Do you want 750 mil & 24.99% ownership?

OR

Do you want 5 billion & 100% ownership?

Jay wanted 100% ownership, that's why HE OFFEFED FIRST 1.5B TO BUY BACARDI's HALF.

are yall really this retarded???

This is why black people get fu*kED in the entertainment industry.

YOU DONT READ OR KNOW MATHEMATICS.

You don't think long term.

ZigZag said STFU n*gga. It's the spell check & I fixed it sucka

You're a grown azz man and don't know the difference between their and there but you know everything about somebody else's finances?

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ZigZag said DUDE. fu*kIN READ. Are yall n*ggas stupid? You clearly not business minded. Let me dumb it down more. Do you want 750 mil & 24.99% ownership? OR Do you want 5 billion & 100% ownership? Jay wanted 100% ownership, that's why HE OFFEFED FIRST 1.5B TO BUY BACARDI's HALF. are yall really this retarded??? This is why black people get fu*kED in the entertainment industry. YOU DONT READ OR KNOW MATHEMATICS. You don't think long term.

Breh either you're a fu*king moron ot sh*t bird racist or both..but you need to be quiet on this subject...you're trying to spin this into a L where one doesn't appear to exist....

3 quarters of a BILLION dollars for anyone else out here is a win off a 2% not to mention moneys already gained and moneies out there to gain......but a black man it's a L cause its not 100% ownership

See how they move that goal line when it comes to us

Mfers really think 750 million ain't nothing???

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Mfers ain't got 3 figures in the bank lol but saying Jay lost.

OrangeHippo said u probably dont even have 6 figures to yo name and u worrying about a n*gga making billions.

a*sume.

TheFreakyRobber said Mfers really think 750 million ain't nothing??? view image Mfers ain't got 3 figures in the bank lol but saying Jay lost.

Y'all focused so much on the 750 Mill.

You not paying attention.

Not repeating because you

1. Dumb

2. Deaf

3. Blind

ZigZag said DUDE. fu*kIN READ. Are yall n*ggas stupid? You clearly not business minded. Let me dumb it down more. Do you want 750 mil & 24.99% ownership? OR Do you want 5 billion & 100% ownership? Jay wanted 100% ownership, that's why HE OFFEFED FIRST 1.5B TO BUY BACARDI's HALF. are yall really this retarded??? This is why black people get fu*kED in the entertainment industry. YOU DONT READ OR KNOW MATHEMATICS. You don't think long term.

If he offered $1.5B for Bacardi's half that means the valuation was $3B. If he sold half his stake (~25%) for $750M that means the valuation is at least $3B (750 x 4)... And that number isn't even confirmed.

What are you going on about?

Proffesor X said Breh either you're a fu*king moron ot sh*t bird racist or both..but you need to be quiet on this subject...you're trying to spin this into a L where one doesn't appear to exist.... 3 quarters of a BILLION dollars for anyone else out here is a win off a 2% not to mention moneys already gained and moneies out there to gain......but a black man it's a L cause its not 100% ownership See how they move that goal line when it comes to us

Bro.

You are an ignorant & an idiot.

Jay had 50% ownerhip. He wanted to buy the other 50% bacardi owned, so he could gain100% ownership. He left with 24.99%. Bacardi now owns 75.01%.

So fu*kIN what he got 750 MIL, when he wanted 5 billion.

I'm clearly black & more educated then you.

ZigZag said Bro. You are an ignorant & an idiot. Jay had 50% ownerhip. He wanted to buy the other 50% bacardi owned, so he could gain100% ownership. He left with 24.99%. Bacardi now owns 75.01%. So fu*kIN what he got 750 MIL, when he wanted 5 billion. I'm clearly black & more educated then you.

And he owns 25% of a brand he had not initial investment or rarely little, from his brand ambassador he gained 50% stock. From that he amassed unknown amounts of millions from.

And he gained 750 mil from no investment and still owns 25% stake in a company which means unlimited pay days from here to the foreseable future.

It doesn't matter how much the company is worth in total as it likely has hundreds of investors with smaller stakes, but none if any own 25%. and you can almost bet none of them have amassed upwards to a billion from their investments.

You keep talking business but are missing the ultimate goal of it...which IS TO MAKE MONEY ............and people who are good at making it know how to make it off very little to no investment at all.

You being all educated and all.....all .that goes out the window cause he should own 100% of a company that he didn't start but somehow managed to finesse 50% stake in.....and cash out with a at least a Billion with unlimited residual income to be netted...........in most people's book that's smart business.........but in broke white boy's books, its an L because he is black, a rapper, and quite frankly a n*gg*r....

And he never wanted 5 million, he wanted what he was owed.......and he got that and then some and still managed to obtain stock without the hassle of being in business with crooks

Pythagoras said If he offered $1.5B for Bacardi's half that means the valuation was $3B. If he sold half his stake (~25%) for $750M that means the valuation is at least $3B (750 x 4)... And that number isn't even confirmed. What are you going on about?

Because on Jays books from desire perez & his team, they said its worth 5 billion. Bacardi said it was worth 3 billion.

Bacardi brought half his stake which they valued @ 750 mil, so that means his stake before he sold it, was worth 2.5 billion (on desires books).

He figured he could buy their half because it is worth 1.5 b according to Bacardis books, but clearly it's worth the 5 bill, Jay & Desire estimated. So Bacardi said no.

Bacardi says here's 750 mil, now the share he has now is less than 25% @ now 750 mill.

Had he kept his 50% it would be worth 2.5 billion. Because Desire was right, but because he took the 750, he validates Bacardis lie, that's Dusse is valued @ 3 billion.

So Jay, got 750 mil, yes that's a lot. But his share is really worth more. He shouldve gotten closer to 1.25 billion, not 750 million.

Bacardi PLAYED him. Had Bacardi been foolish & sold there 50%, & Jay got the 100% ownership he seeked. His stake would have been worth 5 billion.

It's not that hard to understand.

Read dummy @

Proffesor X said And he owns 25% of a brand he had not initial investment or rarely little, from his brand ambassador he gained 50% stock. From that he amassed unknown amounts of millions from. And he gained 750 mil from no investment and still owns 25% stake in a company which means unlimited pay days from here to the foreseable future. It doesn't matter how much the company is worth in total as it likely has hundreds of investors with smaller stakes, but none if any own 25%. and you can almost bet none of them have amassed upwards to a billion from their investments. You keep talking business but are missing the ultimate goal of it...which IS TO MAKE MONEY ............and people who are good at making it know how to make it off very little to no investment at all. You being all educated and all.....all .that goes out the window cause he should own 100% of a company that he didn't start but somehow managed to finesse 50% stake in.....and cash out with a at least a Billion with unlimited residual income to be netted...........in most people's book that's smart business.........but in broke white boy's books, its an L because he is black, a rapper, and quite frankly a n*gg*r.... And he never wanted 5 million, he wanted what he was owed.......and he got that and then some and still managed to obtain stock without the hassle of being in business with crooks

Short term money is better than long term dummy?

I don't care he didn't invest a lot, he got juxed. He wanted full ownership.

READ NIGGGGGGAAAAAAA

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ZigZag said Because on Jays books from desire perez & his team, they said its worth 5 billion. Bacardi said it was worth 3 billion. Bacardi brought half his stake which they valued @ 750 mil, so that means his stake before he sold it, was worth 2.5 billion (on desires books). He figured he could buy their half because it is worth 1.5 b according to Bacardis books, but clearly it's worth the 5 bill, Jay & Desire estimated. So Bacardi said no. Bacardi says here's 750 mil, now the share he has now is less than 25% @ now 750 mill. Had he kept his 50% it would be worth 2.5 billion. Because Desire was right, but because he took the 750, he validates Bacardis lie, that's Dusse is valued @ 3 billion. So Jay, got 750 mil, yes that's a lot. But his share is really worth more. He shouldve gotten closer to 1.25 billion, not 750 million. Bacardi PLAYED him. Had Bacardi been foolish & sold there 50%, & Jay got the 100% ownership he seeked. His stake would have been worth 5 billion. It's not that hard to understand. Read dummy @

it being worth 5 billion per Perez is why they sued.... Bacardi claiming its only worth 3 Billion forcing them to show books is why they setteled

it was never about 5 billion you sh*t brained hick. Its called a bluff. Like I said learn your place in the world breh...you're sound fu*king dumb trying to sound intelligent about sh*t you clearly have no idea about

@ you sound so stupid.

How do you go for 100% ownership & leave the deal with 24.99% ownership & think that was a win?

What CRACK you smoking n*gga?

Proffesor X said it being worth 5 billion per Perez is why they sued.... Bacardi claiming its only worth 3 Billion forcing them to show books is why they setteled it was never about 5 billion you sh*t brained hick. Its called a bluff. Like I said learn your place in the world breh...you're sound fu*king dumb trying to sound intelligent about sh*t you clearly have no idea about

My man.

You think Bacardi gonna buy 75% if it's only worth 3 billion???

OMG....

how dumb can you be..... Why you think Jay shooting for 100% ownership??

ZigZag said Yup. They got him lmao. He tried to buy out Bacardi half, & they said FOH. Desire Perez said they believed Dusse to be worth 5 billion. They valued it @ 3 billion. Took his half, plus .01, so now he owns less than half of his share @ 24.99%. view image Dusse only worth 3 billion, & now his share only worth 750 Million. That's a HUGE L, for someone who wanted to purchase the other half bacardi owned, for 1.5 billion, only to get cut out & left 750 MIL. Especially when they believed it claimed it was worth 5 billion.

$750M L?

Miss with the he tried to buy em out talk cuz that coulda been a tactic to force their hand to get them to pull his share back out.