Hangzhou, China, December 22, 2014 /PRNewswire/ -- At 9:00 AM local time on December 19 (4:00 PM Beijing time), Yuan Group officially signed an agreement to acquire Château Bilauroux in Bordeaux, France. The signing ceremony took place at the château, with Yuan Group Chairman Chen Miaolin and former owner Eric representing both parties in signing the acquisition agreement. Also present to witness this historic moment were Yuan Group President Chen Canrong and other representatives from the group, a notary, local land office officials, and relevant staff from Christie’s real estate department. Nearly ten media outlets, including Decanter Magazine, Wine Spectator, and SUD OUEST (a major newspaper in southwestern France), conducted on-site interviews and reported on the acquisition. This marks another significant international move for the Yuan brand following its successful purchase of the Golden Tulip Hotel in Frankfurt, Germany, on April 4 of last year.
Group photo of Chairman Chen Miaolin, President Chen Canrong, the former château owner, and his five sons
A grand celebratory luncheon was held after the signing ceremony, attended by those present at the morning signing as well as the mayor of Beguey, the town where the château is located.
At 4:00 PM local time on December 19 (11:00 PM Beijing time), a solemn handover ceremony was held at Château Bilauroux. Yuan Group President Chen Canrong delivered the opening speech, stating that as a leading player among China’s high-end domestic hotel brands, Yuan has always been committed to providing guests with premium, authentic French red wine. Back in 2011, when Chairman Chen Miaolin led the Yuan cycling team in the Tour de France challenge, he conceived the idea of acquiring a winery. To offer Yuan guests better quality, finer taste, and a stable supply of French wine, both he and Chairman Chen Miaolin visited Bordeaux in late 2012 and 2013 respectively to conduct detailed research and analysis on the vintage, style, land and vineyard area, grape varieties and planting years, annual production, and pricing of various châteaux. Eventually, they reached the decision to acquire Château Bilauroux.
Next, Chairman Chen Miaolin received a large iron key from Mr. Eric, the former owner of Château Bilauroux, symbolizing Yuan’s official entry into the château as its new owner, manager, and operator—ushering in a new chapter for the estate. Following this, Chairman Chen Miaolin, President Chen Canrong, and the former château owner participated in the wine-opening ceremony. Together, they uncorked a bottle of wine from Château Bilauroux and poured it into a decanter. From now on, the richly flavored wines of Château Bilauroux will grace the glasses of guests across over 160 Yuan-operated high-end hotels and ordinary consumers alike. Senior experts from the Bordeaux Wine Council, heirs of renowned winemaking families, and members of the press attended the handover ceremony.
After the ceremony, guests toured Château Bilauroux and watched a promotional video about Yuan Group. A subsequent afternoon tea session featured the cutting of a cake shaped like the château. Attendees enjoyed a variety of delicious Chinese and French pastries while engaging in relaxed and pleasant conversations accompanied by the elegant music of a jazz band. At everyone’s request, Chairman Chen Miaolin even sang the famous Chinese folk song “Jasmine Flower,” immersing all present in a harmonious blend of Eastern and Western cultures.
Yuan has long been committed to providing guests with authentic French red wine and has maintained close cooperative ties with many prestigious châteaux in Bordeaux. As early as 2012, Yuan Hotels launched a series of French wines under the labels “Red Yuan” and “Pure Enjoyment Yuan,” which have been widely loved and praised by guests. However, importing wine directly from châteaux typically involves distributors, resulting in markups of 70%-100% that indirectly increase guest expenses. The acquisition of Château Bilauroux will not only reduce wine costs and benefit guests but also ensure consistent wine quality and a reliable supply. After the acquisition, Yuan will retain all existing staff at Château Bilauroux, including the winemaker, and will also hire a renowned sommelier and the Dean of the Bordeaux Wine Academy as a consultant. By focusing on soil and grape varietals, they aim to further elevate the quality of Château Bilauroux wines.
The ancient castle within Château Bilauroux was built during the French Revolution and is a classic example of neoclassical architecture, exuding dignity and nobility. Yuan plans to invest approximately 5 million yuan in its renovation. Just a ten-minute drive from the château lies the renowned town of Saint-Émilion, celebrated as one of the most beautiful villages in France. Yuan is considering launching a Bordeaux wine tour in the future to welcome both domestic wine merchants and in-depth travelers.
President Chen Canrong stated after the handover ceremonythat while there are many châteaux in the Bordeaux region, Yuan chose to acquire Château Bilauroux after careful evaluation and analysis due to its long history, majestic castle, and premium-quality wine—an exceptionally rare combination. President Chen expressed strong optimism about the prospects of China’s domestic wine consumption market. He believes that as living standards rise, demand for red wine will continue to grow. Yuan’s acquisition of Château Bilauroux in France aims firstly to provide Chinese consumers with authentic French wine and secondly to contribute to the popularization of wine knowledge and culture in China.
Chairman Chen Miaolin stated that if suitable opportunities arise, Yuan will continue to consider acquiring one or two smaller-scale châteaux in the Bordeaux region to expand the variety and supply of wine available at Yuan hotels. Currently, Château Bilauroux produces 150,000 to 200,000 bottles of red wine annually. In addition to sales within Bordeaux, the plan is to export 100,000 bottles to China, including to Yuan hotels. Once one or two additional châteaux are acquired, the annual production is expected to increase to between 270,000 and 300,000 bottles, allowing for ample supply to Yuan hotels as well as broader external sales.
The acquisition of Château Bilauroux in France marks a crucial step in Yuan’s internationalization efforts following last year’s purchase of a hotel in Frankfurt, Germany. From hotels to products, Yuan is both expanding outward and bringing quality in. The group is currently exploring acquisition opportunities in countries experiencing economic downturns abroad, with hotels in Japan, South Korea, and other nations set to be Yuan’s next targets for global expansion.