On Friday, Italian courts ordered the seizure of €1.3 billion worth of Campari shares held by a Luxembourg-based holding company accused of tax fraud.

An investigation by the Milan financial police found that the Luxembourg holding company Lagfin absorbed its own Italian subsidiary – which held the majority of Campari shares – through a "merger by incorporation," according to Italian media reports.

During this operation, the holding company allegedly failed to declare capital gains of around €5.3 billion from its Italian company controlling Campari, despite being required to do so and pay the corresponding taxes. The €1.3 billion in Campari ordinary shares corresponds to the amount of taxes that should have been paid.

When contacted by AFP on Friday evening, the Campari group had not immediately responded.

In addition to its flagship liqueur, the group controls numerous spirit brands, including Wild Turkey and Glen Grant whiskies, Courvoisier cognac, as well as various brands of gin, tequila, and vodka.

Campari currently has a market capitalisation of approximately €7 billion on the Milan Stock Exchange.