Global beverage giant AB InBev has reached an agreement to divest eight beer and drinks brands from its extensive portfolio to cannabis company Tilray Brands, Inc. This strategic move is positioned to propel Tilray Brands to become the fifth-largest craft beer entity in the United States, a significant leap from its previous ninth position, as reported by data from the Brewers Association. With this acquisition, Tilray Brands anticipates a threefold increase in its beer production capacity, expanding from 4 million cases per year to 12 million.
In an official statement released by Tilray Brands to confirm the acquisition, the list of brands to be included in the sale encompasses: Shock Top, Breckenridge Brewery, Blue Point Brewing Company, 10 Barrel Brewing Company, Redhook Brewery, Widmer Brothers Brewing, Square Mile Cider Company, and HiBall Energy.
The recognition garnered by Breckenridge Brewery within its sector was underscored in the 2022 GABF Competition, the premier professional beer competition in the United States. The brewery secured a coveted bronze medal in the American wheat beer category for its popular Agave Wheat beer, underscoring its esteemed position within the industry.
While the official sale price remains undisclosed, sources indicate that the acquisition is estimated to be valued at approximately US$85 million, according to a filing submitted to the Securities and Exchange Commission. The comprehensive deal is expected to encompass not only the brands but also retain the current employees and maintain ownership of all brewery production facilities and brewpubs associated with the acquired brands.
