A major American spirits company has announced its latest investment targeting younger drinkers, backing a canned cocktail brand that features a popular social media personality as an investor.
Sazerac, the company behind Buffalo Trace Bourbon, revealed Wednesday it has made a financial commitment to SIPMARGS, a sparkling margarita brand that counts TikTok influencer Alix Earle among its backers. The companies have also established an exclusive distribution partnership, though financial details of the investment remain undisclosed.
This move represents Sazerac’s continued effort to capture Generation Z consumers through strategic partnerships. The company recently announced backing for Kendall Jenner’s 818 Tequila brand and has acquired multiple ready-to-drink brands including BuzzBallz, recognized for its distinctive round containers, and Dirty Shirley.
Meanwhile, Sazerac has been pursuing larger acquisition targets. The privately-owned company submitted a roughly $15 billion offer last month to acquire Brown-Forman, the maker of Jack Daniel’s whiskey, but saw that proposal turned down this week. Brown-Forman had previously been in merger discussions with France-based Pernod-Ricard, though those talks have concluded.
SIPMARGS launched in 2020 and secured $3 million in funding this year from various investors, including Earle and Palm Tree Crew, a venture capital firm co-established by musician Kygo.
Earle, age 25, commands approximately 8.5 million followers on TikTok and has previously invested in beverage companies such as Poppi and GORGIE.
“We’ve built an incredibly engaged community around SIPMARGS, but partnering with Sazerac gives us the infrastructure and distribution power to reach consumers on a completely different level,” Earle stated. “It allows us to expand nationally, grow faster, and compete alongside some of the biggest names in the beverage industry while still staying true to what makes us special.”
The Goldring family owns Sazerac, which dates back to the 1850s and reports annual net sales exceeding $6 billion. The company’s portfolio includes more than 500 brands such as Svedka Vodka and Fireball Cinnamon Whiskey.
Sazerac has maintained an active acquisition strategy, purchasing approximately 60 brands over the past ten years.
