Tilray Strengthens Craft Beer Portfolio With Molson Coors Deal
NEW YORK — Tilray Brands Inc. entered into a definitive agreement to acquire four craft breweries from Molson Coors Beverage Co., including Hop Valley Brewing Co., Terrapin Beer Co., Revolver Brewing and Atwater Brewery.
[Read more: Anheuser-Busch Sells Eight Craft Brands to Tilray Brands]
Tilray already oversees a varied range of beer, spirits and nonalcohol beverages producers, including SweetWater Brewing Co., Montauk Brewing Co., Alpine Beer Co. and Green Flash Brewing Co., among others. The new acquisitions will help expand Tilray's portfolio across key beer markets, add 30% new beer buying accounts, and potentially position the company for continued growth and expansion in the beverage industry.
"Tilray Brands is proud to be driving the most compelling and unique growth story in the craft beer industry," said Irwin D. Simon, chairman and CEO at Tilray. "Our team's expertise in operational excellence will enable us to unlock the full potential of these brands and businesses. We are confident in our ability to drive revenue, generate cost synergies, and expand national distribution reinforcing our leadership position in craft beer resulting in tremendous growth opportunities for our global beverage business."
Based in Eugene, Ore., Hop Valley is known for crafting beers that reflect the flavors and spirit of the Pacific Northwest, operating one brewery and two taprooms. The brand is currently sold in 12 states with core markets including Oregon, Washington, Idaho, Arizona, Northern California, Nevada, Wisconsin and Minnesota.
Terrapin Beer is based in Athens, Ga., and is known for experimentation. Its brews are currently sold in 13 states with approximately 47,000 points of distribution throughout Georgia, Florida, Wisconsin, North Carolina, South Carolina, Tennessee and Alabama.
[Read more: Molson Coors & Coca-Cola Expand Their Alcoholic Beverages Partnership]
Located in Granbury, Texas, Revolver Brewing produces high-quality, handcrafted beers using traditional brewing techniques and innovative brewing methods. It distributes products across Texas, Oklahoma and Louisiana.
Atwater Brewery is a craft brewery based in Detroit, with beers known for their bold flavors and unique character. The brand is sold across six states — Michigan, Wisconsin, Illinois, Indiana, Ohio and Kentucky.
TD Securities acted as financial advisor, and DLA Piper acted as external legal counsel to Tilray Brands on the transaction.
Tilray Brands is a global lifestyle and consumer packaged goods company with operations in Canada, the United States, Europe, Australia and Latin America. The company's platform supports more than 40 brands in 20-plus countries, including comprehensive cannabis offerings, hemp-based foods and craft beverages.