Bacardi Limited has announced a definitive agreement to acquire complete ownership of Patrón Spirits International and its Patrón brand, the world’s top-selling ultra-premium tequila.

The transaction reflects an enterprise value for Patrón of $5.1 billion, and subject to customary conditions, is expected to close in the first half of this year.

It is nearly a decade since Bermudian-headquartered Bacardi’s initial acquisition of a significant minority stake in Patrón in 2008.

According to the most recent IWSR data, this transaction will make Bacardi the second largest spirits company in market share by value in the critically important United States market.

Patrón produces more than three million cases of distilled spirits annually.

Facundo Bacardi, chairman of Bacardi Limited, said: “Patrón and Bacardi were both founded on the principles of quality, integrity, and innovation, and driven by a sense of fearlessness.

“It has been a privilege being a partner for a number of years with a remarkable entrepreneur like John Paul DeJoria. John Paul’s vision, integrity, and courage are responsible for introducing the world to simply perfect tequila. As we move forward together, we will continue to pursue perfection as the guiding light in everything Patrón stands for.”

Mahesh Madhavan, chief executive officer of Bacardi Limited, said: “Adding Patrón to the Bacardi portfolio creates a tremendous opportunity for the brand outside of the US as Bacardi’s international distribution network will help grow Patrón around the world, increasing scale in the US and globally.”

The Patrón leadership team, including Edward Brown, David Wilson, COO, and Lee Applbaum, chief marketing officer, will continue in their roles.

Mr Brown said: “As Bacardi has had an ownership stake in Patrón for almost a decade now, and truly knows and appreciates our unique business, they are the best and most logical steward to continue our pursuit of perfection.”

Following the closing of the deal, Mr DeJoria will serve as an ambassador for Patrón in the role of Chairman Emeritus and intends to work with Bacardi in further advancing their combined dedication to philanthropic projects and environmental consciousness.