818 Tequila, founded by Kendall Jenner, has received an investment from Sazerac, a partnership that will also loop the trendy tequila brand into the Louisville, Ky.-based spirits producer’s sales and distribution network. Sazerac announced the deal today in a press release that did not disclose the terms of the transaction.
Jenner started 818 Tequila — which is owned by Calabasas Beverages — in 2021, and it experienced rapid growth right off the bat. Within the first seven months of business, 818 had sales of 136,000 cases. It earned a sales boost in 2024 after dropping its prices by around $15, a move that hoisted its volume sales to 133,000 cases that year.
This investment will boost Sazerac’s footprint in the popular agave-based spirits category. It currently owns five tequila brands, including Margaritaville and Corazón. According to the Distilled Spirits Council of the United States, tequila and mezcal were the second-largest spirits by dollar sales in the U.S. last year.
The announcement comes weeks after reports that Sazerac offered to buy Brown-Forman for $15 billion. Sazerac’s new investment could appeal to the company it’s vying to acquire, as Brown-Forman has minimal reach in the tequila and mezcal space with just a few brands under its purview, such as Herradura and el Jimador.
In a market teeming with celebrity-founded tequila brands like Dwayne “The Rock” Johnson’s Teremana, 818 has carved out a niche with younger drinkers by using the supermodel-slash-influencer Jenner as the face of the brand and launching campaigns with other young influencers. Sazerac’s financial boost will likely help 818 increase availability in more markets.
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