In a move that signals a strategic reshuffling in the global spirits market, Kirin to sell Bourbon Brand Four Roses to E. & J. Gallo Winery for up to 120 billion yen — roughly $775 million — the Japanese beverage giant announced Friday.

The transaction marks a significant pivot for Kirin Holdings as it trims its U.S. spirits portfolio and refocuses its long-term strategy.

Four Roses Changes Hands

Under the agreement, Kirin’s wholly owned subsidiary, Kirin Beer & Spirits of America Inc., will transfer all membership interests in Four Roses Distillery LLC to Gallo, according to the company’s statement.

The deal’s headline value of approximately $775 million includes a potential earnout of about $50 million. That additional payment will be triggered if specified revenue milestones are achieved after closing — adding a performance-based twist to the transaction.

Founded in 1888 and headquartered in Lawrenceburg, Kentucky, Four Roses has been under Kirin’s ownership since 2002. During that time, the bourbon brand has delivered strong results, particularly in the U.S. market, cementing its reputation among whiskey enthusiasts for consistency and craftsmanship.

Modesto, California-based E. & J. Gallo Winery — one of the largest family-owned wine and spirits companies in the United States — will now add the storied Kentucky bourbon label to its expansive portfolio.

Strategic Review Drives Divestment

Kirin said the decision to divest followed a comprehensive review of its business portfolio and balance sheet, with executives evaluating the company’s medium- to long-term trajectory.

“This transaction will allow Kirin to reallocate its resources toward businesses that could further grow by leveraging Kirin’s own organizational capabilities, thereby further growth in enterprise value,” the company said in its announcement.

Kirin added that it is still considering how it will deploy the proceeds from the sale. The company pledged to disclose details once a decision has been finalized.

Regulatory Hurdles Ahead

The transaction is expected to close in the second quarter of 2026. Completion remains subject to approval from U.S. antitrust authorities and the expiration of applicable regulatory waiting periods.

Counsel information was not available as of Friday.

With Kirin to sell Bourbon Brand Four Roses, the deal reflects a broader realignment in the global beverage landscape — where heritage brands shift ownership like chess pieces on a board shaped by scale, strategy and long-term value.