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| Constellation Brands top beers for 2016! |
So the whole 'going public' thing was really just a big FOR SALE sign for Ballast Point Brewing? Constellation Brands, a behometh beverage alcohol company known as being the largest wine company in the world, today announced an agreement to acquire Ballast Point for around $1BILLION. Ballast Point brews will soon join Constellation Brands line up of offerings that include Corona, Negra Modello, Pacifico and Tsingtao. Rumor has it that Ballast Point Spirits is not even part of this deal and will be spun off as a separate company with a new brand name.
Ballast Point is one of the fastest growing craft beer companies in the US with a beer portfolio that includes more than 40 different styles of beer, led by its popular Sculpin IPA and Grapefruit Sculpin IPA. The takeover of Ballast Point gives Constellations Brands a foothold in the craft beer industry, strengthening its position in the highest end of the U.S. beer market.
Ballast Point started in 1996 as a small group of home brewers. According to reports, Ballast Point will continue to operate as a stand-alone company with its existing management team and employees running the day-to-day operations.
“We started this business nearly 20 years ago with a vision to produce great beer that consumers love and to do it the right way,” said Jack White, founder of Ballast Point Brewing & Spirits. “To achieve that vision, we needed to find the right partner. The team at Constellation shares our values, entrepreneurial spirit and passion for beer, and has a proven track record of helping successful premium brands reach the next level of growth and scale.”
Ballast Point is on pace to sell nearly 4 million cases in calendar 2015, which would represent growth of more than 100 percent versus calendar 2014. Net sales for calendar 2015 are expected to approximate $115 million. Ballast Point employs more than 500 employees, produces beer in four facilities in the San Diego area, and sells its beer in over 30 states.
Ballast Point started in 1996 as a small group of home brewers. According to reports, Ballast Point will continue to operate as a stand-alone company with its existing management team and employees running the day-to-day operations.
“We started this business nearly 20 years ago with a vision to produce great beer that consumers love and to do it the right way,” said Jack White, founder of Ballast Point Brewing & Spirits. “To achieve that vision, we needed to find the right partner. The team at Constellation shares our values, entrepreneurial spirit and passion for beer, and has a proven track record of helping successful premium brands reach the next level of growth and scale.”
Ballast Point is on pace to sell nearly 4 million cases in calendar 2015, which would represent growth of more than 100 percent versus calendar 2014. Net sales for calendar 2015 are expected to approximate $115 million. Ballast Point employs more than 500 employees, produces beer in four facilities in the San Diego area, and sells its beer in over 30 states.
“We believe in the vision that Jack and his team have created and we’re excited to welcome Ballast Point, one of the most respected craft brewers in the country, to the Constellation Brands family,” said Rob Sands, chief executive officer, Constellation Brands. “Along with imports, craft beer is a key driver of growth and premiumization within the beer industry, with craft doubling its share of the U.S. beer market in the last five years. Ballast Point has certainly been a key driver of that growth. Their business philosophy and entrepreneurial spirit perfectly align with our culture and we look forward to strengthening our position in the high-end beer segment with what is arguably the most premium major brand in the entire craft beer business.”
Constellation Brands, a NY based company, owns more than 100 brands in wine, beer and spirits. Wine brands include Robert Mondavi, Clos du Bois, Franciscan Estates, Ravenswood, Blackstone, Nobilo, Kim Crawford, Inniskillin, Jackson-Triggs, Manischewitz and Arbor Mist. Beer brands include Corona, Modelo Especial and Negra Modelo, Pacífico, and Tsingtao. Spirits brands include Black Velvet Canadian Whisky, Svedka Vodka and Paul Masson Grande Amber Brandy.
Constellation Brands plans to purchase Ballast Point Brewing & Spirits for approximately $1 billion. The transaction will be financed with cash and debt, and is expected to close by the end of calendar year 2015, subject to customary closing conditions.
Constellation Brands plans to purchase Ballast Point Brewing & Spirits for approximately $1 billion. The transaction will be financed with cash and debt, and is expected to close by the end of calendar year 2015, subject to customary closing conditions.
