US-based premium distilled spirits company MGP Ingredients has concluded the acquisition of beverage alcohol products manufacturer Luxco and its affiliated companies.

As per the terms of the deal, which was announced in January this year, Luxco shareholders received aggregate cash consideration of $238m, as well as five million shares of MGP common stock.

Luxco offerings portfolio include brands such as Ezra Brooks Bourbon Whiskey, Daviess County Straight Bourbon Whiskey, Yellowstone Bourbon Whiskey, El Mayor Tequila and Everclear.

The deal is expected to further enhance MGP’s scale and market position in the branded-spirits sector and also bolster its platform for future growth of higher value-added products.

The acquisition of Luxco is said to be in line with MGP’s long-term strategy, which focuses on shifting to higher value-added products and diversify its business.

It is also expected to increase MGP’s gross margin and cash flow generation profile.

MGP Ingredients president and CEO David Colo said: “By adding a highly respected company and its team to our organization, we are in a strong position to enhance our value proposition and execute our long-term growth strategy.

“We welcome Donn and his family to the MGP shareholder base and look forward to growing our combined business. Our new organization will be stronger together as we optimize operational capabilities and leverage this additional platform for sustainable growth.”

Last March, MGP Ingredients acquired New Columbia Distillers for an undisclosed sum.

Based in Washington, DC, New Columbia Distillers produces and distributes Green Hat Gin, as well as operates a distillery featuring a tasting room, bar and gin garden in Northeast Washington, DC.