According to a CNN report, even though the champagne business may have had a better time in history, Jay-Z has sold a 50 percent stake in its Armand de Brigac champagne brand. J has recently reached an agreement with the luxury group LVMH, which also counts brands such as Dom Perignon and Moet & Chandan for an undisclosed sum.
The deal comes to light when LVMH is trying to diversify its customer base after numerous public relations mistakes and disputes. He recently announced that tennis star Naomi Osaka will be the new LVMH brand ambassador, and will partner with professional skateboarder Lucian Clark on skate shoes and apparel collections.
The deal represents the culmination of Jay-Z’s longstanding relationship with the champagne business. He was famously a proponent of Kristall in his lyrics and in his music videos, but in 2006 he informally stopped endorsing the brand when the CEO of its parent company created his own buzz among hip hop artists and fans Made racist remarks, increasing the popularity of the product. In Armand de Brignac, also known to the public as the “Ace of Spades”, he found a brand more worthy of its publicity, and in 2014 he actually acquired it for himself. In a press statement, Jay-Z spoke about his new partnership with LVMH:
“I am proud to welcome the Arnault family through this partnership that began with Alexandre Arnault and continued with her father Bernard Arnault and Philippe Scouse at their home in Los Angeles. It is such a partnership One that has felt familiar throughout. We believe that the enormous power of the Moët Hennessy global distribution framework, its unique portfolio strength and its long-established track record of excellence in developing luxury brands will give Armand de Brigac the commercial power that It needs to move forward and flourish. “
Under the terms of the agreement, LVMH will handle the global distribution of Armand de Brignac Champagne, but details on the exact nature of those terms have not yet been made public.