Sazerac Expanding? Buffalo Trace Owner Moves to Acquire Bankrupt Kentucky Bourbon

(Photo: Staghorn)

Sazerac, the New Orleans-based spirits company behind Buffalo Trace and its popular brands including Blanton’s and Weller, has acquired the majority of debt from Garrard County Distilling Co., a Kentucky distillery that closed and entered receivership last year. The acquisition was confirmed through court filings and statements to the Lexington Herald-Leader, which reported the news Monday.

The move centers on $26 million in loans originally held by Truist Bank. According to the filings, Truist sold, assigned and transferred all rights, title and interest in its loans to Tom Collins Distilling LLC, a company owned by Sazerac, on Feb. 11. The sale price was not disclosed.

“As a privately owned company, we cannot divulge further information,” a Sazerac spokesperson said, according to the Herald-Leader, confirming ownership of Tom Collins Distilling.

The transaction is tied to a receivership hearing scheduled for March 6 in Garrard Circuit Court. Truist Bank has requested to substitute Tom Collins Distilling as plaintiff in the case.

Garrard County Distilling Co., based in Lancaster, opened in January 2024 but quickly faced financial and legal issues. Lawsuits from contractors and liens exceeding $2.5 million were placed on the property, with Truist holding the largest debt.

The distillery sits on 210 acres and includes a 50,000-square-foot facility with 18 fermenters and three rickhouses. Some barrels were filled in 2024, including approximately 17,000 sourced from another distillery, according to the Herald-Leader. Garrard County Distilling planned to produce both branded products and contract whiskey.

The company experienced high turnover behind the scenes, according to the Herald-Leader. Master distiller Lisa Wicker was fired less than two weeks after her hiring, and founder Ray Franklin left in 2023.

Industry Context

Garrard County Distilling is one of several high-profile whiskey companies that entered receivership or bankruptcy in the past year. Others include Uncle Nearest in Tennessee; Luca Mariano in Danville, Kentucky; and Kentucky Owl, which along with Stoli U.S.A., is in bankruptcy proceedings in Texas.

In addition to Buffalo Trace, Sazerac owns Barton 1792 Distillery in Bardstown and Glenmore Distillery in Owensboro. Recently, it announced a $1 billion expansion in new production and aging facilities in Campbellsville and Laurel County.

The acquisition of Garrard County Distilling represents a continuation of Sazerac’s strategy to consolidate assets in Kentucky and expand its production footprint amid a wave of closures and financial difficulties in the bourbon industry.