Global spirits giant Barcardi Limited will acquire Patrón Spirits International AG, maker of the popular Patrón tequila, at an enterprise value of $5.1 billion, the companies announced on Monday, Forbes reports.
Bacardi, the world’s largest private spirits business, already owns 30% of Patrón, which it purchased in 2008. Industry insiders have long hypothesized that it would eventually buy out the tequila maker in full.
The transaction is expected to close in the first half of 2018. It will enable Bacardi to add an additional brand-name liquor to a roster that already includes Grey Goose vodka, Dewar’s scotch whiskey and a fleet of eponymous rums.
As part of the acquisition, Patrón cofounder John Paul DeJoria-who is currently worth an estimated $3.4 billion, according to Forbes-will sell his 70% stake in the company. Because Bacardi’s purchase price includes the assumption of Patrón’s debt (which is not publicly disclosed), it’s not yet clear how DeJoria’s net worth will change once the deal is completed.