Over the years, the Bacardi rum company and the Bacardi family expanded. The world’s largest premium rum distillery partners with Olein Refinery to combat shortage of product in Puerto Rico. He then abruptly adjourned the meeting, and said the reverse-split issue would be taken up at another stockholders' meeting on May 14 in Coral Gables, Fla. Technically, the stockholders' meeting is still open, a circumstance O'Hara and del Valle both said restricted their ability to talk in interviews about the issues involved in the consolidation. "Sometimes taking a company private is a prelude either to restructuring the company, selling assets or selling out," he said. © Gannett Co., Inc. 2021. The three teen-age children of Adolfo Comas Bacardi, for instance, want to work for their father's business this summer. "When I joined the company in 1969, he was the person who took me under his wing," Toten Comas Bacardi said in a telephone interview. Nor would he sell his own shares. Stockholders owning less than 1,000 shares would receive cash for their interest, at $41 a share. December 22, 2005 — 12.29am . He asked O'Hara why the company was going through with the expense of the transaction when it would not reduce the number of shareholders to below 300. In response to questions submitted by The Washington Post, a Bacardi Imports spokeswoman said the company believes it would be "improper" to comment on the privatization plan or the opinions of company executives on it. Rum sales volume was third, with Britain, after the United States and Mexico. "Most of them have so much money, they just go from Monaco to Bermuda to Nassau," said one family dissident. Not all of the rapidly growing family worked for the Bacardi companies, which eventually numbered more than 20 worldwide. Instead of buying back shares, they proposed a reverse stock split: Every 1,000 old shares would be converted to one new share. "To the best of my knowledge, our shareholders have been told" the reasons for privatization in the company's proxy statement, del Valle said in an interview at Bacardi Corp. headquarters here. It could have been solved without this. Named the Rumbera, the luxury vessel was built by Palmetto's Sea Force IX Inc. for Joyce and Joaquin Bacardi -- as in Bacardi Rum. The proxy statements were duly mailed to shareholders. From 1979 through 1986, more Americans bought Bacardi rum than any other single brand of liquor. Why go backward? The man who did … Pull Quote Always, the companies -- some specializing in marketing or distribution, others producing rum -- were independent of each other. In the company announcement, he said, "we were not trying to create any particular impression. 2020 AAAS Annual Meeting 13 - 16 February 2020 Seattle, WA Neuroscience 2019 Newsroom 19 - 23 October 2019 Chicago, IL When Manuel Jorge Cutillas, the chief executive officer of Bacardi Ltd., the world's fifth-largest spirits company, decided on whom he would recommend to succeed him, the choice initially left the Bacardi family shaken, not stirred. In Bermuda, Bacardi International Ltd. oversaw production for the non-U.S. market, operating subsidiaries in Canada, Brazil, Trinidad, Panama and Martinique. In one busy afternoon at Miami International Airport, three Bacardi siblings created, with notarized signatures, 240 trusts to divide up their stock. There was a sense of security," said Adolfo Comas Bacardi, the Bacardi Corp. vice president who was fired last December. Coke products also are distributed in Puerto Rico by Bacardi's distribution arm. "There has been an attack to limit our role and our voice. "I was the one who told them, 'It won't jeopardize your jobs,' " he said ruefully during an interview in his San Juan home last week. As they say, he taught me everything I know.". The idea was to reduce the number of stockholders to below 300, which would let the company free itself from Securities and Exchange Commission regulation. Fewer than a million shares were volunteered for sale under the tender offer, less than half the number management thought would put the company below the 300-shareholder threshhold. © 2020 Advance Local Media LLC. All rights reserved. Here, Adolfo said, the circumstances are different. But, according to Bacardi family sources, Alberto had suggested some cost controls and audit procedures for the company that were not appreciated by the parent company's management. During the interview, Adolfo Comas Bacardi pulled from his desk a newspaper article about the Bingham family of Kentucky, whose battle over the Louisville Courier-Journal was so divisive the paper and other properties eventually were sold. Esperamos que nuestra pequeña contribución ayude a reconstruir este gran país frente a esta tragedia, así como las Bahamas ayudó en la reconstrucción de Bacardi hace 60 años. Enormous yacht built by Palmetto company for Bacardi family sets sail. The company released a memo saying Comas Bacardi had left to pursue family business. Officials of Hiram Walker's parent company in Canada could not be reached for comment. He also held a position with Bacardi & Co. -- and he opposed the privatization plan. The conversion would take place if a majority of stockholders agreed to it at a meeting in Jacksonville on April 27. There were some diversification flops, particularly in the electronics and financial investment areas, but the public company remained solid. The battle has resulted in the firing of four top executives, all named Bacardi. They offered $41 a share, more than $5 above the level at which the stock was trading at the time. Your California Privacy Rights / Privacy Policy. It is unclear what will happen at the meeting Thursday. And the Bacardis, nearly all of whom had fled the country, went to courts worldwide to prevent the Cuban company from exporting rum labeled Bacardi. He kept virtually the entire organization in his head, not on paper -- one of the reasons, Bacardis joke, that the structure is so complex today. More Bacardi companies were set up, principally in the Western Hemisphere. Asked about the firing of Adolfo Comas Bacardi, O'Hara said he had no comment, and in response to a question about the other firings said the other Bacardi companies all are private. Perhaps, say the Bacardis, there are just too many relatives now, too many descendants of Don Facundo for all to be able to rise within the empire without family strife. The other semi-autonomous Bacardi companies, scattered across the Caribbean and around the world, are private, their shares held entirely by the many -- and wealthy -- descendants of the man who founded the first company in Cuba in 1862. Jorge Bacardi, cuya familia ha fabricado ron y otros licores durante 150 años, sufrió, desde su niñez, discinesia ciliar primaria, una enfermedad pulmonar debilitante que casi acabó con su vida. The children doubtless will grow up with a different view of the Bacardi trademark and companies than their parents did, although the far-flung Bacardis hope their loyalty to the company will not diminish. But a place was there for a family member who was willing to work. A little too big to tow on a trailer and launch from the nearest public boat ramp, an 83.5-foot-long yacht needed one of Port Manatee's cranes to be lifted into the water.Named the Rumbera, the luxury vessel was built by Palmetto's Sea Force IX Inc. for Joyce and Joaquin Bacardi -- as in Bacardi Rum.The sport-fishing yacht is powered by a pair of 2,400- horsepower motors, and can cruise up to 3,000 nautical miles at a "steaming" speed of 10 knots, or 730 nautical miles at an "easy cruise speed" of 30 kph. Now, to all of a sudden say goodbye, it's just shattering our lives. The dissidents emphasize their struggle is not for control of the Bacardi empire. Lieferzeit: 1-2 Tage. They had to apply for and compete for their jobs, and they worked alongside nonfamily employes who also rose to high positions. No successor was ready to fill his role overseeing the network of companies, so any family replacement would have appeared a usurper. Martin Sikora, editor of Mergers & Acquisitions magazine, said going private means owners "can do whatever the hell they want without anybody looking over their shoulders. Bacardi Keeps Spirits Up in 2020. "When somebody became a widow, she and the children would be supported and the children knew they would eventually be offered a job. A recent family gathering in Mexico, they note, had 500 attendees. The Bacardi story began when a Cuban wine merchant realized in the 1860s that a better rum could be made from the local sugar cane molasses than the vile, dark libation favored by Spanish buccaneers. Bacardi Limited (/ b ə ˈ k ɑːr d i /; Spanish: [bakaɾˈði]) is one of the largest American privately held, family-owned spirits company in the world. In the meeting, Cutillas asked Toten Comas Bacardi to stop speaking out against the privatization plan. When Bosch retired in 1977 at age 78, family members were loath to appoint one of their own to succeed him. The dissidents had spent the intervening weeks frantically shifting shares among family members, distributing blocks of 1,000 shares to children, spouses and trusts, to ensure that even after the reverse split more than 300 shareholders would remain. A Caribbean business newspaper interpreted the company's announcement to mean he had resigned, and the annual report said he had "departed.". And it has shattered a century-old Bacardi tradition of loyalty to the family, the business and the product. It was Comas Bacardi who explained the new plan in November to an assembly of the company's entire Catano work force of 700 employes, who had some trepidations about the change. Jorge and Leslie Bacardi However, many other liquor companies sell more than one brand, and are much larger. The family name and the Bacardi trademark, in fact, have blended together in the minds of many family members. His family has produced rum and other spirits since 1862. Another company, Bacardi International Limited, was also formed and headquartered in Bermuda. Sarasota Herald-Tribune ~ 1777 Main St., Sarasota, FL 34236 ~ Do Not Sell My Personal Information ~ Cookie Policy ~ Do Not Sell My Personal Information ~ Privacy Policy ~ Terms Of Service ~ Your California Privacy Rights / Privacy Policy. Del Valle agreed in the interview that Comas Bacardi had been fired. And in the Bahamas, Alberto's brother Jorge Bacardi was removed from his jobs as vice president and a director of Bacardi & Co. and a director of Bacardi International. Bacardi, a resident of the Bahamas and a member of the Bacardi family that produces rum and other spirits, said that the day after his double lung transplant, at age 63, he took his “first proper breath.” He credits God and Christopher’s decision to become a donor with making that possible. Cutillas also declined to answer questions about these firings. He is said to favor the privatization plan. Bacardi Corporation was founded in San Juan, Puerto Rico, in 1936, and is part of family-owned Bacardi Limited, the largest privately held spirits company in the world. Imagine a future in which a new lung is grown for a patient in need, using the patient’s own cellular material, or a day when an injection of replacement cell O'Hara reportedly said he was aware that some shares had been transferred. It was he who pulled them together in 1992 to consolidate five separate Bacardi companies they had variously spawned – in the US, Bermuda, the Bahamas (the … Of Italian nationality, she lives in Monaco for over twenty years. Cutillas not only was his second cousin, but also he had been Toten's mentor when he entered the business on the rum-making side. An heiress to the Bacardi rum empire is selling her dream home for $25 million. When Fidel Castro nationalized the Cuban operation in 1960, the Bahamas firm, Bacardi & Co. Ltd., took over as controller of the Bacardi license extended to the other companies. Then late last year, things began to change. As the company grew, legions of Bacardis worked for it. “There are over 600 people in the family now, but we’re keen on maintaining those philosophies. He told a reporter that he has a firm policy of not doing interviews on the telephone. Top management -- Comas Bacardi was high enough in the company to be mentioned frequently as a possible successor for del Valle -- had not been told such a plan was even being considered. O'Hara said there were no plans for any such transaction. And he is said to have opposed the privatization plan for Bacardi Corp. Last January, Alberto Bacardi was fired by Cutillas, who is the president and chairman of Bacardi International in addition to his position at Bacardi & Co. Cutillas' brother Eduardo, chief operating officer of Bacardi International, delivered the news. They would start at low positions, as sales personnel, accounting clerks, assistant rum makers or roustabouts rolling oaken barrels of rum. The proxy statement listed three reasons for the consolidation: to reduce the number of stockholders; to save "burdens and costs" of the reporting and regulatory requirements of being a public company, estimated at $200,000 per year, and to "reduce the diversity of stockholder interests, thereby simplifying the corporation's management decisions.". The other companies release no results, but family members say they have prospered as well. He also asked del Valle to briefly delay announcement of his departure, so that he could attend the company Christmas party the next day, then leave on a planned vacation. Comas Bacardi opposed the proposal, and told O'Hara and del Valle his feelings. February 22, 2021. Or purchase a subscription for unlimited access to real news you can count on. The dissidents say they have only about 15 percent of Bacardi Corp.'s shares on their side, so on a straight vote they would lose. "It's almost impossible to tell you what this means to us. But much more is involved in the struggle than the privatization plan, especially for the dissidents within the family who are fighting the proposal with legal and financial maneuvers. The family should have discussed it together.". But there were some surprises in store for management on April 27. As management calculated it, the reverse split would pare the list of roughly 750 stockholders to fewer than 300. Adolfo Comas Bacardi has started his own business, distributing perfumes, cosmetics and skin-care products in Puerto Rico. In 1986, Bacardi sold 265,000 cases more than its closest competitor, Smirnoff's vodka, according to figures compiled by industry analyst John C. Maxwell. But later in their lives, he said, they want to work for the Bacardi companies. February 11, 2021. Originally known for its eponymous Bacardi white rum, it now has a portfolio of more than 200 brands and labels. The result, the statement said, would be an investment that would "benefit the corporation and its remaining stockholders." The "substantial" "gift — the amount of which has not been disclosed — will back the Jorge and Leslie Bacardi Fund in Regenerative Medicine, named in honor of the Bahamas benefactors. In 1936, the firm moved its principal distilling operation to Puerto Rico. In Spanish folklore, the bat is a symbol of good luck, long life and family unity. "We do not comment on the financial interests of our executives, nor do we comment on matters involving executives of other companies," said spokeswoman Chris Boesch. But experts say taking a company private is a tactic that is often followed by changes in ownership or management. It’s the perfect logo for Bacardi rum, says fourth-generation family member Jorge Bacardi. In 1979, del Valle, a Puerto Rican businessman who was on the board of directors, was asked to become president. Cataño, Puerto Rico, March 19, 2020 – A shift in production by Bacardi at the world’s largest premium rum distillery is helping supply ethanol required to produce the much needed hand sanitizers that are in high demand as a result of COVID-19. There are more pictures of Coke products in Bacardi's annual report than there are of rum. The phenomenal success of the firm -- three of every four bottles of rum sold in the United States and perhaps one of every two in the world bear the Bacardi name -- ensured that family stock in the network of companies would keep the Bacardis very comfortable. If there is a secret, let's bring it out in the open. A large proportion of the shares, they say, are held by family members who do not work for the companies and pay little attention to the day-to-day affairs of the business. Comas Bacardi said as a family stockholder he thought going private was a bad idea and should be thoroughly examined by the family before the idea moved forward. Last February, Toten Comas Bacardi was asked to go to the Bahamas to confer with his boss, Manuel Jorge Cutillas. Jorge Bacardi, whose family has manufactured rum and other spirits for 150 years, suffered since childhood with primary ciliary dyskinesia, a debilitating lung … At the meeting, according to some of those present, O'Brien, the attorney, went to the microphone when the reverse stock split came up on the agenda. Regenerative medicine is no longer science fiction, and a substantial gift from Jorge and Leslie Bacardi of the Bahamas will significantly accelerate the research of Mayo Clinic's Center for Regenerative Medicine on the Florida campus. After much experimentation, Don Facundo Bacardi developed a light rum that he then produced in a local still after he threw out the bats he found inside, giving rise to the company's trademark. Executives of Bacardi Corp., the company to be privatized, either declined to comment for this story or said the privatization would lead to no significant changes in the operation of the company. Not only are rum-and-cokes the top-selling rum drink in this country, but also Coca-Cola markets a line of nonalcoholic mixers under the Bacardi name.