Related Party Transactions |
9 Months Ended |
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Apr. 30, 2024 | |
| Related Party Transactions [Abstract] | |
| Related Party Transactions | Related Party Transactions Effective April 30, 2024, in connection with the Sonoma-Cutrer acquisition, the Company entered into a transitional services agreement (“TSA”) with Brown-Forman, which is considered a related party transaction. See Note 4 (Business Combination) for additional information regarding the acquisition. The TSA governs services including certain distribution services, information technology services, finance and accounting services and sales and marketing services for a limited time to ensure an orderly transition following the acquisition. The agreed-upon charges for such services are intended to cover any costs and expenses incurred in providing such services to the Company by Brown-Forman (with a mark-up to reflect the management and administrative cost of providing the services). As of April 30, 2024, the Company did not have any related party transactions, receivables or payables outstanding with Brown-Forman under the terms of the TSA. As of April 30, 2024, the Company had a related party payable of $1.7 million outstanding with Brown-Forman for payroll related transactions for Sonoma-Cutrer unrelated to the TSA and preliminary working capital adjustments related to consideration paid for the acquisition, which is a preliminary estimate and subject to further adjustment. The Company expects to settle this payable within 90 days of the Closing Date pursuant to the working capital provisions included within the merger agreement. See Note 4 (Business Combination) for additional information.
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