Drinks Firm Calls Time On Southern Comfort

The owner of Jack Daniel's whiskey is selling its Southern Comfort brand to a rival drinks maker as part of a $543.5m (£377m) deal.

Brown-Forman said the brand, together with another liqueur called Tuaca, was being sold to Sazerac, a family-owned firm based in Louisiana.

Southern Comfort was created in 1874 by a New Orleans barman who blended unrefined whiskies of the time with his own blend of fruits and spices.

Sales of the brand, which was bought by Brown-Forman in 1979, have struggled in recent years.

The drink, also known as "SoCo", was given a marketing push in the "Whatever's Comfortable" campaign featuring a slightly rotund man walking down a beach in speedos and shoes before picking up a glass.

Brown-Forman said last month that net sales of Southern Comfort had fallen 7% in the first half of its fiscal year – pointing to weak sales at bars and restaurants and competition from new flavoured whiskies.

Chief executive Paul Varga said the sale reflected the Kentucky-based company's evolving strategy and focus on top priority brands – led by Jack Daniel's.

He said of Southern Comfort and Tuaca: "Both brands played important roles in the Brown-Forman success story, and we will have fond memories of the enjoyment they brought to consumers, our partners and to Brown-Forman."

The deal is expected to complete by 1 March.

Sazerac boss Mark Brown said the company was excited to acquire the two brands and looked forward to "years of successful brand building".