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FTC Wants Gallo Winery To Sell Some Product Lines In New Deal

By  |  April 5, 2021

The Federal Trade Commission (FTC) on Monday announced that it approved a final order which would require E. & J. Gallo Winery to divest certain product lines as part of its planned acquisition of assets from Constellation Brands. 

“The final order requires Gallo to divest several product lines and remove certain others from its asset purchase agreement with Constellation,” the FTC stated. 

The FTC stated the final order settles charges that the acquisition would violate federal antitrust laws. 

According to the complaint, the FTC stated the proposed acquisition would likely “eliminate head-to-head competition between Gallo and Constellation, and substantially lessen competition in the United States for six types of wine and spirits products: entry-level on-premise sparkling wine, low-priced sparkling wine, low-priced brandy, low-priced port, low-priced sherry, and high color concentrates.”

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