Business

Pappy, Buffalo Trace maker Sazerac plans $1 billion+ in expansions

Key Takeaways
Key Takeaways

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  • Sazerac plans over $1.05 billion in U.S. expansions, countering sector cutbacks.
  • Campbellsville project totals about $1.02 billion, adds 50 jobs and tax incentives.
  • Company boosts capacity and portfolio with Indiana growth and recent acquisitions.

Sazerac Distillers, makers of some of the biggest-selling premium bourbons, including Buffalo Trace, Pappy Van Winkle, 1792, Blanton’s and Weller, is expanding again.

The family-owned spirits company, which finished a $1.2 billion expansion in January at the Buffalo Trace Distillery that doubled distilling capacity, is bucking American whiskey trends by launching new plans totaling more than $1.05 billion as much of the industry downsizes.

Blanton’s bourbon is bottled at Buffalo Trace Distillery in Frankfort, Ky., on Wednesday, Jan. 15, 2025. Buffalo Trace just completed a 10-year, $1.2 billion expansion that has increased capacity from 200,000 barrels a year to more than 500,000.
Blanton’s bourbon is bottled at Buffalo Trace Distillery in Frankfort, Ky., on Wednesday, Jan. 15, 2025. Buffalo Trace just completed a 10-year, $1.2 billion expansion that has increased capacity from 200,000 barrels a year to more than 500,000. Ryan C. Hermens rhermens@herald-leader.com

The company did not immediately respond to a request for comment Monday afternoon.

New facility planned for Campbellsville

The New Orleans-owned company, which has headquarters in Louisville and distilleries in Frankfort and Bardstown, is planning to invest more than $1 billion in a new facility in Campbellsville in Taylor County.

In August, the Kentucky Economic Development Finance Authority approved tax incentives worth $2.75 million for the project, which will create 50 new jobs over the next 15 years with an average hourly wage including benefits of $33.80, according to the monthly agenda.

According to the economic board, Sazerac needs the new facility “as a result of significant business growth.” The project includes about $9 million for land, $385 million for building and improvements and $625 million for equipment for a total investment of nearly $1.02 billion.

Buffalo Trace Master Distiller Harlen Wheatley in Building C at Buffalo Trace Distillery in Frankfort, Ky., on Wednesday, Jan. 15, 2025.
Buffalo Trace Master Distiller Harlen Wheatley in Building C at Buffalo Trace Distillery in Frankfort, Ky., on Wednesday, Jan. 15, 2025. Ryan C. Hermens rhermens@herald-leader.com

Expansion in Indiana

Meanwhile, Sazerac also is planning a separate $38 million expansion of its existing operation in New Albany, Ind., according to industry publications. The site, which is managed by subsidiary Northwest Ordinance Distilling, will increase production capacity to meet “growing demand for its distilled spirits products,” according to a joint statement issued by the company and by local officials.

The Indiana expansion will create 25 new full-time positions in the plant in a former General Mills facility.

The Buffalo Trace Distillery in Frankfort, Ky., is photographed Wednesday, Jan. 15, 2025. Buffalo Trace is completing a 10-year, $1.2 billion expansion that has increased capacity from 200,000 barrels a year to more than 500,000.
The Buffalo Trace Distillery in Frankfort, Ky., is photographed Wednesday, Jan. 15, 2025. Buffalo Trace is completing a 10-year, $1.2 billion expansion that has increased capacity from 200,000 barrels a year to more than 500,000. Ryan C. Hermens rhermens@herald-leader.com

Sazerac purchasing brands

Sazerac has also been on a buying streak: Earlier this month the company bought Texas-based Western Son Vodka and Distillery for an undisclosed sum, its third purchase in 18 months.

In 2024, Sazerac also bought Svedka vodka from Constellation Brands and in March 2024 the company bought ready-to drink cocktails Buzzballs, one of the fastest-growing alcohol brands.

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This story was originally published October 20, 2025 at 3:22 PM.

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Janet Patton
Lexington Herald-Leader
Janet Patton covers restaurants, bars, food and bourbon for the Herald-Leader. She is an award-winning business reporter who also has covered agriculture, gambling, horses and hemp. Support my work with a digital subscription
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