There’s a moment when a small brand becomes bigger than its roots. Not because it forgets where it came from, but because it brings that origin story into the world. That moment just arrived for Ilegal Mezcal, the artisanal mezcal born in Oaxaca in the early 2000s. Today, it officially belongs to Bacardi, the world’s largest privately owned spirits company. This isn’t a quiet slip of the bottle—it’s a cultural and category pivot.

From Smuggled Mezcal to Corporate Crown Jewel

Ilegal Mezcal was founded in 2006 by John Rexer, who began by importing mezcal into his Guatemala bar. What started as a personal obsession with Oaxaca’s smoky agave elixirs eventually evolved into a brand sold internationally—and wildly successful. By 2022, Ilegal was the U.S. market leader, with 37.4% share by volume, certifying its status among the super-premium mezcal elite.

Bacardi’s partnership with Ilegal began back in 2015, and in 2017 it purchased a minority stake. Now, in September 2023, Bacardi completed its acquisition, becoming the sole owner of Ilegal. Financial terms weren’t officially disclosed, but some sources estimate the transaction to be in the $120–130 million range.

Why This Deal Matters—For the Market and the Mezcal Movement

This move signals more than just a corporate handbag—it’s a strategic play on a spicy, growing category. According to IWSR, mezcal isn’t slowing down. The super-premium-plus mezcal segment is projected to grow at a 16% CAGR over the next five years, with agave spirits poised to become the sixth-largest category globally by 2027. And with the U.S. already commanding 86% of the super-premium mezcal market, the terrain is ripe for expansion.

Bacardi’s vice-chairman Barry Kabalkin didn’t mince words: “Ilegal has the credentials to own and lead the super-premium mezcal category at a global level. Ilegal perfectly complements our portfolio.” The brand joins Bacardi’s robust Mexican spirits mix alongside Patrón and Cazadores tequila.

Preserving the Essence While Scaling Up

Acquisitions can kill character. But Bacardi insists this one won’t. The founder’s philosophy is still front and center. “Success for Ilegal goes beyond seeing bottles on shelves,” says Rexer. “It’s about building our business the right way… committed to artisanal production, the Oaxacan community, and our core values.”

Ilegal’s craft—double-distilled in small batches with 100% Espadín agave, pit oven-roasted, tahona-milled, and fully natural—remains intact. The brand continues to be CRM-certified and retains its commitment to sustainable community building in Santiago Matatlán, Oaxaca.

Implications for Consumers—and What to Expect Next

For the casual drinker or the spirits curator with a shelf to stock, this could mean more mezcal accessibility. InsideHook’s analysis succinctly captures it: “You’re going to be drinking a LOT more mezcal.” Bacardi’s massive distribution network can bring Ilegal from dusty Oaxacan agave fields to your favorite cocktail bar or local bottle shop—without erasing its soul.

Conclusion: A Small Brand With a Big Future

Ilegal Mezcal’s path from rebellious bar favorite to Bacardi flagship is more than a business story—it’s a cultural moment. It speaks to how an artisan brand, rooted in terroir, community, and craft, can scale globally without losing its voice. The category’s growth has caught Bacardi’s eye, but the founder’s vision remains steady.

In a world thirsty for authenticity, Ilegal could be the proof—literally— that expansion and integrity aren’t mutually exclusive. And that’s worth raising a glass to.