Baijiu Kweichow Moutai’s group reinforces its position as the best value in the world by winning on the Chinese stock exchange.
The baijiu who has been breaking records in recent years, has a new record with the Kweichow Moutai group. During the Shanghai Stock Exchange closing last Thursday, the group reached 230 billion euros in value, dethroning the ICBC bank. Its shares rose from 1,000 yuan last year to 1,460 yuan this year (186 euros).
Kweichow Moutai is very popular in China. It is the world’s most valued manufacturer of alcoholic beverages. It is even bigger than large groups such as LVMH (193 billion), with a capital six times that of Pernod Ricard, and more than AB InBev, Diageo and Heineken combined.
Unlike the rest of the world, Kweichow Moutai enjoyed sales growth during the confinement.
The distiller recorded a 13% increase in sales in the first quarter (24.4 billion yuan). On the other hand, groups such as Diageo and Pernod Ricard saw their sales decline.
In addition, Moutai, the group’s baijiu sales brand, has a unique reputation in China. Its bottle has come to be worth a lot of money as an investment. There are vintages that are worth gold. In fact, bottles of Moutai have been auctioned at very high prices. In June 2019 the sale of a 1999 Rare Breed bottle reached the price of 3000 pounds. While the auction of a batch of 12 bottles from 1980, from Christie’s first sale of baijiu, reached $95,378. This sale ended up reaching a value of $3.6 million. The most expensive bottle of Moutai ever auctioned is the Lay Mau 1935, valued at $1.46 million.
Moutai has become China’s elite brand of choice. And it surprises not only local consumers, but Westerners as well.
In 2019, Pernod Ricard signed an agreement with the Chinese group Wuliangye to distribute baijiu in Southeast Asia. Its competitor Diageo, for its part, dominates the baijiu brand Shui Jing Fang, a competitor of Moutai.
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