Tennessee Distilling completes €6 million takeover of Waterford Whisky
Mark Reynier bought the former Diageo brewery on Waterford's Grattan Quay in 2014, converting the facility into a premium whiskey distillery. Tennessee Distilling Group have now taken control of the distillery and the Waterford Whisky IP for €6 million. Photo: Joe Evans
Tennessee Distilling Group have now completed the €6 million takeover of Waterford Whisky, following the company’s entry into receivership in November 2024.
With the takeover comes ownership of one of the city’s most iconic buildings - the former Diageo brewery on Grattan Quay - and possession of the Waterford Whisky intellectual property, a household name among prestige whiskey connoisseurs.
Speaking to the , General Counsel and head of Tennessee Distilling Group Ventures, Heath Clark, said he hopes the distillery will become open to the public by May.
Currently, the group is undertaking a “pretty intense” six-week cleaning process of the distillery after almost 18 months of inaction.
“In the short term, we're going to stand up sort of a retail operation, and then get the plants over the next year or so ready to produce again. We've got four local employees…we hope to add hospitality staff quickly,” Mr Clark said.
Mark Reynier founded Waterford Whisky in 2014, purchasing the former Diageo brewery for €7.2 million.
He intended to create a whiskey product like no other, a high-market value bottle built around the concept of ‘terroir’, the idea that the natural environment of the product helps create its flavour profile.
Mr Clark said Tennessee would be producing “a more approachable” and “a more predictable” product in comparison.
“My time on the ground in Waterford, visiting with bartenders and pub owners, is that the concept got a little too confusing for the consumer, so we're going to simplify stuff,” he said.
“We want to maintain the premium position of Waterford Whisky, but we will make it more approachable.
“So there's going to be a reduction in price point across that product line, we're going to narrow the focus on it.”
Mr Clark said some of Tennessee Distilling's white-label alcohol would be produced in Waterford, meaning Waterford Whisky would not be the sole driver of activity at the distillery.
The approximately €100m worth of Waterford Whisky stock will now be sold in tranches by ‘Prestige Casks’.
The platform was formed by Interpath Advisory’s Daryll McKenna and Mark Degnan, the appointed receivers behind Waterford Whisky.
Waterford Whisky went to market days before Ireland went into its first COVID lockdown. Rising interest rates, issues with import partners and broader industry downturn led to its collapse.
Speaking to the , Mr Reynier reaffirmed his previously reported commitment to purchase around €13 million worth of bulk stock.
“Tennessee have bought the distillery…I tried but was unsuccessful in competing on that front,” said Mr Reynier.
“The question now is whether I create a new brand based on the stocks that I'm looking to purchase and what that brand will be.”
Mr Reynier expressed disquiet about how Interpath handled the receivership process. Interpath had offloaded the Grattan Quay distillery and IP separately to its bulk stock.
“The way that Interpath handled that (the receivership process), I don't think was terribly clever,” said Mr Reynier.
“What is the intention of Tennessee and the brand versus the distillery itself? It's almost two separate things.”
Mr Reynier said he would “like to continue the Waterford story” but that it will likely come under a different label.
Dave McCarthy has been around the drinks industry for a long time.
Having worked with Real Madrid in its global beverage partnerships, he’s now handling the sale of almost 60,000 casks of Waterford Whisky for Prestige Casks.
It’s the equivalent of around 14.5 million bottles.
Prestige Casks launched on March 17 at ProWein Germany, an international trade fair for wines and spirits.
Along with Waterford Whisky, Prestige Casks is also selling casks from Powerscourt Distillery, another ill-fated premium whiskey producer that fell into receivership in May 2025.
Mr McCarthy said Prestige Casks allows buyers to bypass the decade-long maturation process that Waterford Whisky underwent, and grants them an immediate ability to sell high-margin whiskey at scale.
Mr McCarthy likened the boom and bust nature of the whiskey to housing or commodities like gold. Seeing through the ebbs and flows will be key.
“There's this quantity of stock of some of the best whiskey that's ever been produced that's available,” Mr McCarthy said.
“Unfortunately, there is just no market for anything at the moment, it's probably the worst time in the spirits industry since prohibition.”
The whiskey industry has suffered acutely.
Guinness owner Diageo and Jameson Whiskey owner Pernod Ricard have both shed almost 50% of their share value over the past two years.
A host of Irish independent craft distilleries in the vein of Waterford Whisky have faced choppy waters, entering receivership or ceasing operations.
“Nobody is really buying anything. If anything, distilleries have stopped producing,” Mr McCarthy said.
“In terms of selling off the whiskey, what Prestige Casks is trying to do is to recognise that the spirits industry is cyclical.
“There's been three downturns over the last 25 years, and each time, it bounces back to an average growth rate of about 6%, so people aren't going to stop drinking whiskey. It's just currently in a downturn.”
Mr McCarthy said Prestige Casks generated positive reaction at ProWein.
Moving ahead, there looks to be a divergence between two different types of Waterford Whisky.
The one of new - the cheaper, more accessible product produced by Tennessee, and the one of old - Reynier’s terroir-based premium that will now be sold off to different corners of the world.
