Liquidity Wines acquired by Anthony von Mandl

 Photo: Liquidity founder Ian MacDonald

In the latest example of Okanagan winery consolidation, Anthony von Mandl’s Iconic Wineries of British Columbia has acquired 12-year-old Liquidity Wines Ltd. of Okanagan Falls.

No announcement is planned by Iconic Wineries; nor have details been released about the transaction. Industry reports suggest Liquidity sold for $12.5 million but this is unconfirmed.

This  is von Mandl’s first winery in the Okanagan Falls sub-appellation. His other Okanagan wineries include Mission Hill Family Winery, Martin’s Lane Winery, CheckMate Wines, CedarCreek Estate Winery (acquired in 2013) and Road 13 Vineyards (acquired in 2018).

Liquidity was established in 2008 when Ian MacDonald, a businessman and art collector, teamed up with Calgary energy industry executives Jim Davidson and Dale Shwed to buy an ailing Okanagan Falls vineyard left over from a failed winery project. Liquidity subsequently added more Alberta-based investors.

While making the initial vintages offsite, Liquidity’s founders rejuvenated the vineyard, turned the house on the property into an elegant tasting room and bistro, and built a separate winery.

After the bistro opened in 2013, Liquidity converted another building on the property into a VIP tasting lounge. Art from Ian’s superb personal collection is displayed here. The winery also hosts artists and their work in the wine shop every year.

A spokesperson for Iconic Wineries says “it will be business as usual, with the restaurant, the art and the winemaking.”

One reason for this transaction was perhaps telegraphed by a comment made by Ian after the Supreme Court of Canada refused in 2018 to strike down interprovincial barriers to selling wine direct to consumers in other provinces.

“If you look 10 or 20 years down the road, it will not be very robust or healthy,” Ian told one newspaper. “If there isn’t direct-to-consumer shipping I feel like the industry will collapse over time. Small wineries in places like California, Washington State and Oregon wouldn’t survive the same thing, I don’t think the small winery would exist long-term without the opportunity. It will be just a couple of large groups that control wineries and the products. Then you will have controlled and monopolized pricing, restricted production and lose access to small-batched quality wine.”

Von Mandl, however, has shown a unique ability to thrive in the wine and beverage alcohol business. The Iconic Wineries group produces top quality wines. For example, I have twice awarded 100 points to a Chardonnay from CheckMate. The production facilities at Mission Hill produce thousands of bottles of popularly-priced wine (both VQA and non-VQA).

As well, his other alcoholic beverage enterprises have been very successful. In 2016, his Mark Anthony Group Inc. launched in the U.S. a vodka soda called White Claw. It is projected to generate US$4 billion in revenues next year. The product is just being introduced in Canada.

By most measures, Liquidity is a small boutique winery. The original vineyard purchased in 2008 had 10 acres of mature vines, notably Pinot Noir; another 10 on the prime south-facing slope was planted with Viognier, Chardonnay, Pinot Gris, Merlot, Cabernet Franc and a little Cabernet Sauvignon. In 2014 Liquidity added a contiguous vineyard by taking over the neighbouring Lusitano Estate Winery, sold by the owners after just a year in business. These three blocks of vineyard, now totalling 30 acres, mean that most of Liquidity’s production, about 7,000 cases in 2018, is estate grown.

Liquidity’s early vintages were made first by consulting winemakers and then by Matt Holmes, a young Australian. When he returned to his homeland, Liquidity recruited Ontario-born Alison Moyes. Working as a sommelier in Halifax fired her interest in winemaking. After training at Brock University, she came to the Okanagan in 2008 to work at Osoyoos Larose Winery, Stoneboat Vineyards and, since 2015, Liquidity. Under her hand, the Liquidity portfolio has focussed on premium wines.

 “Pinot Noir is where my heart is,” Alison once told me. Her other wines have also impressed tasters. Liquidity’s 2016 Chardonnay Reserve, as an example, won a gold medal at the 2018 Chardonnay du Monde competition.