Cult Wines Completes Seed Funding -- After 14 Years in Business
If Christophe Navarre, the former CEO and chairman of Moet Hennessy, has his way, wine will soon be globally recognized as an investment class, similar to stocks, bonds, commodities, real estate and timber.
The vehicle for this transformation? Cult Wines, which has been in business since 2007. It is the leading wine investment company in the world, has just completed its first seed fundraising round.
Last year, Cult Wines said, gross sales revenue topped 90 million GBP, a 32% increase from 2021. The company currently manages 290 million GBP of fine wine assets, a 45% jump from 2021.
The amount raised during the round was not disclosed, but Sian Parry, global head of public relations and social media, told Kane's Beverage News Daily this round of funding was strategic. "It allows us to get some major industry heavyweights involved in the business and on the board, and well as lending additional credibility to wine as an asset class."
Leading the round were Christophe Navarre, former CEO and Chairman of Moet Hennessy; Chris Jones, former Blackrock CIO of Global Active Equities; Formula 1 driver Valtteri Bottas; and Reda Bedjaoui, Founder of luxury fintech Privat 3 Money.
Navarre and Jones will also join the board as strategic advisors providing world-class leadership and guidance to propel the company’s growth. Navarre’s leadership and contributions to the drinks and luxury industry have earned him a reputation as a visionary leader. As President and CEO of Moët Hennessy, he oversaw the company’s global expansion and growth, significantly increasing revenue and acquiring several other premium beverage brands. Jones has four decades of experience in financial services and is currently Principal at CMVJ Capital. He previously held various senior roles at Blackrock and JPMorgan Investment.
Funds will fuel the company’s aggressive growth trajectory, including supporting technological infrastructure, scaling the recently launched CultX, and continued investment in data. Cult Wines was advised by Akur Capital, the company’s independent corporate financial adviser.
Since its founding in 2007, the company has sought to address challenges inhibiting the growth of the fine wine investment market, including price transparency, liquidity and accessibility to the market.
Cult Wines now features two innovative platforms: Cult Wine Investment, which reshapes consumer wine investment through a managed portfolio service, and CultX, a leading-edge digital trading platform that heightens market price transparency.
“This investment is indicative of our unwavering commitment to redefining the fine wine market,” said Tom Gearing, CEO/Co-Founder. “As we continue to innovate and expand our global footprint, we remain dedicated to unlocking the full potential of wine as an asset class by investing into technology, robust data and innovative solutions that address the complexities inherent in wine ownership and trading.
"Each of these investments enhances the market’s accessibility, fostering growth both within our business and the industry alike. The future of wine investment is incredibly bright, and we are poised to be at the forefront of this transformation.”