(CNBC) - It's not just the grapes, but the wine industry itself is ripe for M&A deals this year.

Napa Valley, California-based Silver Oak this week announced its acquisition of Ovid Napa Valley, following a flurry of wineries vying to snatch up one-of-a-kind land holdings, as acreage appreciates in value and certain markets reach their full capacity of plantable space.

Modesto, California-based Gallo, for example, recently made a similar purchase of Stagecoach Vineyard, which boasted more than 600 acres of land in the Napa hillside. Following this deal, Gallo maintains its title as the world's largest family-owned wine company, competing with the likes of publicly traded Constellation Brands, The Wine Group and Bronco Wine Company.