Viansa Sale Closes
The sale of Viansa to 360 Global Wine Co. closed Tuesday. What's notable about the press release is that 360 Global paid $31m for the Viansa business, but borrowed 110% of that! ($34.5m). Does this mean they screwed the Sebastianis? Not necessarily, more likely they were able to borrow heavily against the real estate assets and might intend to convert some of the debt to equity in the future. The 3-year term on the note indicates that they will probably need to do so or refinance as that's not a long time to turn something around in this business.