Calaveras Vineyards

EXECUTIVE SUMMARY
Goldengate Capital has been approached by NationsBank's Managing Director Tom Howell with an investment possibility. NationsBank would like Goldengate to participation in Calaveras' management proposal to purchase the property for $4.5 million. Goldengate has participated in two very profitable deals with NationsBank, the third largest financial institution in the United States.
Wine sales in supermarkets have grown 7.4% in 1992, while beer sales have grown only 2.2%, less than inflation. One of the explanations for the increase is noted by Standards & Poor's to be a broadcast by 60 minutes stating there is a relation between drinking wine and the lowering of the heart attack risk.
HISTORICAL INFORMATION
Ownership
Calaveras Vineyards is located in Alameda Valley, California with a total of 220 acres, 175 of which the vineyards occupy. The vineyard was established in 1883 to provide wine for the Catholic Church. By 1950 the production also included table wines. The vineyard remained in the original owner's family until 1986. Since 1986 the vineyard has been sold two times. …