The cannabis company Tilray Brands has entered into a definitive agreement to acquire eight beer and beverage brands from Anheuser-Busch.
Upon satisfaction of customary closing conditions, Tilray will acquire 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 transaction includes current employees, breweries and brewpubs associated with these brands.
The purchase price will be paid in all cash. The transaction is expected to close in 2023.
The expected sales volume of the acquired brands will lift Tilray Brands to the fifth largest craft beer business position in the U.S., the company says, up from the ninth, with current brands SweetWater Brewing Company, Montauk Brewing Company, Alpine Beer Company and Green Flash Brewing Company.
Tilray Brands also owns Breckenridge Distillery, and Happy Flower CBD sparkling non-alcoholic cocktails.
“Today’s announcement both solidifies our national leadership position and share in the U.S. craft brewing market and marks a major step forward in our diversification strategy,” says Irwin D. Simon, Chairman and CEO, Tilray Brands. “We are excited to work with the teams behind these iconic brands that command great consumer loyalty and have a history of delivering strong award-winning products with tremendous growth opportunities. Tilray is fully committed to invest in and champion the future of the U.S. craft beer industry by fueling new innovation that excites and further accelerates the growth of its consumer base.”