Treasury Wine Estates has rejected two private equity bids valuing the Australian wine maker at A$3.4bn (US$2.9bn), including debt, and said it would instead focus on plans to grow as a standalone company.

Constellation Brands was toasted by investors as the $5.3bn acquisition of beer maker Grupo Modelo, completed last year, showed further signs of paying off.

Known for its off-high street wine warehouses, Majestic has seen off most of its high-street rivals. For the past five years it has lifted earnings and dividends steadily, and its shares have risen fourfold. That has made it easy drinking compared with the more adventurous vintages available on the junior market. However, the company struck a vinegary note last week with its second profit warning since March.
The shares have fallen by a quarter and analysts have pared back expectations for pre-tax profit to £23.5m for next year and they are talking of flat growth until 2016.