[Stag's Leap Wine Cellars (4)]
"Brian, come here for a second."
I was in the middle of discussing the reconstruction with the workers on the Silveroak property, and I shot a troubled look at my father's phone call.
"I'm talking to the construction crew right now... I'll come over when I'm finished. It's not that urgent, is it? Is there a problem with the tanks?"
"Not exactly... It's just, I received an email..."
"Then it's not urgent, right?"
"That's true. It's surprising, but not urgent."
"Got it. I'll head over once I'm done here."
"O-okay..."
After hanging up, I raised my voice toward the workers.
"If you had done as I instructed before, it wouldn't have turned out like this."
Pointing to the results of the infiltrometer test and the soil I had pulled from the subsoil, I watched as the workers wore perplexed expressions.
"We did exactly as you told us to."
"Look. There's far too little gravel compared to other areas. The drainage speed is less than 5cm per hour; if it stays like this, the roots will grow too thinly."
"......"
"On top of that, the balance of sugar, acid, and tannins is off... Regardless, you need to redo this construction."
The representative from the construction company looked dissatisfied, but there was no room for rebuttal against my firm critique.
"From where to where do you need us to redo it?"
"From that red line I marked over there to this side—it should be about 30 yards. Please make sure it's done properly this time."
"*Sigh*, understood."
Since the trees have to be moved and the work redone, it wasn't an easy task even if it was only 30 yards. Furthermore, since this was redoing faulty work and I had secured a promise for reconstruction if any deficiencies were found when we signed the subsoil contract last year, there would be no additional construction costs.
Part of the reason I was able to make such a contract was that I had provided a generous budget for the initial construction.
"Please do a good job this time."
I roughly knew why they had made this mistake. It was likely because the project required more gravel than they had anticipated.
To create soil that mimics To-Kalon, you can't just use any gravel; it must be round, smooth river gravel. Only then can you ensure good drainage and allow the roots to grow through without injury.
If you use construction-grade crushed stone or gravel that is too large—over 40mm—the roots can get damaged, or the pore structure becomes irregular, causing the water retention capacity to drop significantly. If alkaline stones like limestone are included, they can raise the pH and cause problems.
That's why, before the construction began, I had meticulously checked the gravel myself, and I had even filtered out a lot of the gravel the company had prepared at the time. They probably ran out of gravel toward the end and cut corners like this.
After instructing one of the workers to stay by their side and meticulously monitor the progress, I headed to Redwood Winery. It wasn't far, so it took less than 20 minutes by bicycle.
"What's going on?"
As I entered the winery office, my father immediately pointed to the computer monitor.
"Just go and look. I got an email."
"What kind of email..."
I sat at my father's desk and read it...
"Huh?"
As I tilted my head, my father raised his voice as if to say, "See?"
"Right? Do you think this is real?"
"But Dad, are you this excited because you're actually greedy for it?"
"Hey, no. But look. It's not just anywhere; it's Stag's Leap. They're recognizing us like this, so I'm just excited about that."
As expected, my father wasn't just blindly chasing greed.
"Send them a 'no thanks.' I'm not interested, whether it's a 10-year installment plan or whatever."
I want to gain recognition and accumulate wealth through things I've built with my own hands. If I just wanted to be rich, I would have used my knowledge from before the regression to play the stock market. Acquiring assets someone else built isn't in my plans, and above all, it's not fun.
"Really? I thought you'd be interested. Why? Do you think it'll be hard to pay the acquisition funds in 10-year installments?"
"No. Stag's Leap generates a certain amount of revenue, so that wouldn't be difficult. It would actually be better."
I hadn't thought about it before, but I remembered that several large wineries were sold around this time. One was Stag's Leap Wine Cellars and the other was Duckhorn Wine Company. I definitely remembered that Stag's Leap sold for just under $200 million.
The reason I remember this is that Stag's Leap's trajectory was quite different from other wineries.
Usually, when wineries grow, they pursue wealth formation and investment capital simultaneously, like Duckhorn, for the purpose of expansion and partial exit. However, Stag's Leap was unique because the founder sold all of his shares in the winery to an outside party, not his family.
The reason for this is unknown, but I know this because I remember being intrigued after reading an article about the fact that none of the family members inherited the Stag's Leap wine business.
"But why would they offer such good terms to us?"
I shrugged my shoulders.
"Well, I'm curious about that too. Don't they want to deal with the side they're currently negotiating with? The founder should hold almost all the shares anyway..."
"But it is impressive. They say they're currently negotiating at $180 million. Could we become like that too?"
"Of course. That's why I'm working so hard to lay the groundwork..."
"Hahaha, that's right, that's right. The kind of wine my son is making... If you release a cult wine that surpasses Astra Vale this time, everyone will be shocked."
"That's what I'm saying. Well, it feels good, but tell them to sell it well."
I stood up and headed to the aging room. Then, realizing something was strange, I muttered.
"But if they're poking around here and there like this, the sale price will drop... Why are they poking around with emails like this? It's strange..."
I didn't think for a second that such a large winery would only send an email to a small Redwood winery in Napa.
"You refused?"
"Yes..."
Hudson, who is in charge of operations, was reporting to Warren with a strange feeling himself, wondering if he should be happy or annoyed about this. However, Warren didn't have any particular reaction other than slightly furrowing his brow, as if he had expected it to some extent.
"The reason?"
"Well... it says they hope for a good result in this sale, but the core of it was a refusal."
"So they refused without even mentioning a specific reason?"
"I printed out the email just in case you were curious."
The reason Hudson didn't hand this over immediately was that the response was literally just two lines. Warren took the paper, which was mostly white space, and read it.
"Thank you for the offer, but we would like to inform you that we have no plans to be involved in this matter, though we sincerely hope your sale process is completed smoothly... Simple."
"Yes."
"Damn it..."
"Pardon?"
"Never mind. You can leave now..."
At that moment, the study door opened, and his two sons entered.
"Father, you saw the email, right?"
Andrew and Jonathan, who had entered with bright faces, shouted without waiting to see who would go first.
"You saw the refusal email, right?"
"I haven't changed the contract schedule. We'll proceed as planned."
Warren, who had been watching his two sons quietly, said.
"Looking at you two, it seems like you think this winery is yours."
Among the two sons who flinched, Jonathan spoke with a slightly flushed face.
"You've been talking about selling the winery for 10 years now. If you change your mind now, we're the ones who will be more flustered."
"Does selling it to Redwood mean I'm not selling it?"
"Father!"
"Why do you think I've been saying I'd sell it for 10 years? Neither of you has any interest in wine, and there's no one who wants to take it over. If I don't sell it, should I take it to the grave? If I die, do you think you could sell this for its fair value?"
"......"
At Warren's words, the two sons were struck dumb.
"The winery isn't going anywhere even if I don't sell it right away, but how do you think I feel when I see you two walking on eggshells around Michel Wine and Marchesi Antinori?"
"That's because... if the sale deadline is delayed, everything will fall apart."
At the second son's mumbling, Warren frowned, then said in a calm tone.
"Yes, I understand. Proceed with the contract schedule as is."
At Warren's answer, the two sons were delighted.
"Understood!"
"You thought well! I'll go tell them right away..."
Just as the two sons were excitedly about to leave,
"However...!"
"Yes?"
To the two sons who stopped and turned around, Warren continued.
"I'm going to change the terms of the deal."
"What...?"
"I'm going to request the removal of the Non-Compete Clause that prevents me from working in the wine industry after the sale."
Andrew and Jonathan were greatly shocked.
"Father!"
"What are you talking about?"
When a premium winery of this caliber is sold, a non-compete clause is included almost 100% of the time. Especially for a figure like Warren Winiarski, who is the brand itself, it is common for the conditions to be much stronger because he is the most sensitive risk from the acquirer's perspective.
If he sells the winery and immediately starts another wine company, it would be a huge loss for the acquirer. So, saying to remove this clause is practically the same as saying he won't sell.
"Instead, I'll tell them that if they add a condition that allows me to work as a winemaker, not as an executive, I'll proceed with the deal."
"You know that's an absurd condition! They'll never accept it!"
"Then I won't sell. You can sell it after I die."
At their father's firm answer, the two sons realized they couldn't persuade him. They knew that no one could stop him once he was stubborn about something related to wine.
Furthermore, they knew that wanting to work more as a winemaker was something he had decided for the rest of his life, so they couldn't interfere with that either.
"*Phew*... Understood for now."
Since he wasn't starting a wine company but only working as a winemaker, it was a part where their father had conceded a step, so the two sons stepped back for now.
Once the two sons left, Warren asked Hudson, who had been watching restlessly.
"Do you think I was too much?"
He gave a bitter smile.
"No, not at all. But I am curious. A winemaker... I can't even imagine you working anywhere other than here at Stag's Leap."
"That goes for me too."
"Have you decided where you're going?"
"No. I have nothing."
"Then you're just going to become a freelance winemaker? The other side will probably put restrictions on everything, even the blending similar to the wines you've released so far. Are you okay with that?"
At his worried question, Warren smiled broadly instead.
"What's the problem with that? If I wanted to make the same things as before, why would I say I want to be a winemaker? I'm doing this because I want to try making something different. Tell them to restrict everything. I don't care."
Whether the acquiring side accepts it or not, Warren felt much more at ease now. No, he even felt a bit lighter.
"That damn San Jose building... let's see how well that goes."
He had never even seen that building, which they cared about more than the winery, but he really hated the sight of it.