Industry Issues
Tilray Brands to acquire 4 craft beer breweries
Tilray Brands Inc., New York, announced that it has entered into a definitive agreement to acquire four craft breweries from Molson Coors Beverage Co., Chicago. The acquisition includes Hop Valley Brewing Co., Terrapin Beer Co., Revolver Brewing and Atwater Brewery.
Tilray’s beverage business is poised for even greater success with the latest addition of sought-after craft beer brands, known for their unique portfolio of beers, the company says. With the pending acquisition of these breweries, Tilray’s portfolio will expand across key beer markets adding 30% new beer buying accounts, it notes.
“Tilray Brands is proud to be driving the most compelling and unique growth story in the craft beer industry. With the acquisition of these four craft breweries from Molson Coors, we are marking another strategic milestone in Tilray Brands’ growth plan,” said Irwin D. Simon, chairman and CEO of Tilray Brands, in a statement. “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.”
Molson Coors Chief Commercial Officer Michelle St. Jacques, added: “Last fall we set a clear portfolio premiumization ambition, and achieving it is going to require tighter focus on the segments we believe have the highest growth potential for our business. While we love these craft breweries and the people behind them, this move allows us to do exactly that — focus our time, energy and resources behind the initiatives we believe will best help us meaningfully grow our U.S. above premium portfolio in beer and beyond beer.” BI
Starbucks names Brian Niccol as Chairman, CEO
Seattle-based Starbucks has appointed Brian Niccol as Chairman and Chief Executive Officer (CEO). Niccol assumed the position Sept. 9.
Previously, Niccol served as Chairman and CEO of Chipotle. Since becoming CEO in 2018, Niccol had transformed Chipotle. His focus on people and culture, brand, menu innovation, operational excellence, and digital transformation have set new standards in the industry and driven significant growth and value creation, the company notes
“We are thrilled to welcome Brian to Starbucks. His phenomenal career speaks for itself,” said Mellody Hobson, Starbucks board chair, in a statement. “Brian is a culture carrier who brings a wealth of experience and a proven track record of driving innovation and growth. Like all of us at Starbucks, he understands that a remarkable customer experience is rooted in an exceptional partner experience. Our board believes he will be a transformative leader for our company, our people, and everyone we serve around the world.”
Niccol added: “I am excited to join Starbucks and grateful for the opportunity to help steward this incredible company, alongside hundreds of thousands of devoted partners. I have long-admired Starbucks iconic brand, unique culture and commitment to enhancing human connections around the globe. As I embark upon this journey, I am energized by the tremendous potential to drive growth and further enhance the Starbucks experience for our customers and partners, while staying true to our mission and values.”
Laxman Narasimhan stepped down from his role as CEO and as a member of the Starbucks board with immediate effect at the time of the announcement. During his tenure, he improved the Starbucks partner experience, drove innovation in the company’s supply chain and enhanced its store operations, the company says. BI
Southern Glazer’s Wine & Spirits, Miami and Dallas, announced its plans to acquire Horizon Beverage Group Inc., one of New England’s premier alcohol distributors. The deal includes all of Horizon’s operations in Massachusetts and Rhode Island, as well as their wine, spirits, and beer portfolio, and makes these two states the 46th and 47th markets in Southern Glazer’s U.S. footprint, in addition to Canada and the Caribbean. Upon completion of the acquisition, the business will operate under the Southern Glazer’s Wine & Spirits of Massachusetts and of Rhode Island names, respectively. The current Horizon leadership teams in both states will continue leading operations in those markets and will work closely with Southern Glazer’s East Region President Scott Oppenheimer. All of Horizon’s family members and leadership team, including Co-Chairmen Bob Epstein and Jim Rubenstein, also will continue in their current roles to help ensure a smooth transition for all employees, suppliers and customers.
Califia Farms, Los Angeles, announced the acquisition of Uproot Inc., a plant milk dispenser system for foodservice. Founded by Kevin Eve and Jacob Conway who had a passion to provide consumers with healthy plant-based beverages, Uproot provides a convenient solution while increasing sustainability through packaging reduction. “The founders of Uproot have developed a turnkey solution for dispensing plant-based milk and have achieved impressive distribution in just five years,” said Dave Ritterbush, CEO of Califia Farms, in a statement. “We look forward to building on this foundation, connecting with consumers in new ways and providing our plant milks to more people.” The Uproot team, including the two founders, will join the Califia team. Through the acquisition, Califia will expand its Away From Home portfolio of products and services. Uproot operates more than 150 dispensers at leading college and university campuses across the United States and other dining locations. The Uproot dispensing system provides a convenient and sustainable solution for delivering healthy and delicious plant-based milks to health-conscious consumers.
Costa Tequila, Austin, Texas, announced a strategic distribution partnership with Ben E. Keith to bring the Hi/Lo blend of tequila to the Lone Star State. Costa Tequila debuted its unique tequila blend in hubs across the state including Houston, Austin, Dallas, Fort Worth, San Antonio, and everywhere in between. Costa Tequila continues to invest in expanding its distribution footprint in the South with key distribution partner Ben E. Keith. This partnership facilitates distribution across Texas with the aim to drive brand awareness and increase market share with the entire Lone Star State. “Texas ranks as one of the top states for annual Tequila consumption. With a strong distributor partner like Ben E. Keith, Texas brings a wealth of opportunity to showcase our unique tequila blend in an active and highly competitive marketplace,” said Costa Tequila Founder Stephen Gavula III, in a statement. “Costa Tequila offers a variety of flavors that can be enjoyed neat or made into an inspired cocktail. We have something for everyone to enjoy.”
American Beverage, in partnership with Closed Loop Partners, announced a $3 million loan to support the San Antonio-based facility of Balcones Recycling, one of the largest independent privately held recycling companies in the United States. The loan, part of a multi-million-dollar investment across several partners, supports the development of a new 200,000-square-foot materials recovery facility. The new facility will impact nearly 1.5 million San Antonio residents, multifamily buildings and commercial customers by better sorting and cleaning recyclables, allowing more materials to be processed and remade rather than wasted in a landfill, the association says. “This state-of-the-art facility is a critical step toward improving San Antonio’s recycling infrastructure,” said Carol McGarah, executive director of the Texas Beverage Association, in a statement. “We are proud to be a part of this project and build on Every Bottle Back’s work in Texas to ensure recyclables, like our bottles and cans, are remade into new materials as intended.” The $3 million loan to Balcones from American Beverage, through Closed Loop Partners’ Infrastructure Group, financed the installation of new equipment to improve the processing and recycling of materials and add recycling capacity at the facility. With new sorting technology, the facility aims to significantly improve the recycling rate of a range of materials including polyethylene terephthalate (PET) plastic bottles, which will be returned to supply chains and can be used for new bottles, helping keep these materials in circulation.