Avery Brewing Co. Announces Sale of Minority Stake (30%) to Mahou San Miguel

Discussion in 'Beer News' started by Todd, Nov 28, 2017.

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  1. Todd

    Todd Founder (13,254) Aug 23, 1996 Finland
    Staff Super Mod Pooh-Bah Society Trader

    AVERY BREWING CO. ANNOUNCES MINORITY PARTNER, MAHOU SAN MIGUEL

    Spain’s Leading Brewer Invests in Avery Brewing Co. with Shared Values and Commitment to Quality and Long-Term Growth in Craft Beer Industry

    Boulder, Colorado, November 28, 2017 – Avery Brewing Co. has announced a partnership with Mahou San Miguel, who is coming on as a minority investor and long-term strategic partner in the brewery.

    Avery Brewing and Mahou San Miguel are excited to focus on a continued promotion of organic growth of Avery Brewing in the evolving U.S. Craft Segment. Investments will support Avery Brewing in their recognized obsession for the highest quality craft beers, innovation, distributor and retailer relationships, customer experiences, and strategic growth.

    “Dad and I decided 2 years ago that in order to fulfill our vision of the new brewery and all of Avery Brewing’s potential, it made a lot of sense to seek a partner” says Adam Avery, Founder of Avery Brewing. “At that time, we established our criteria for our perfect partner: Minority Investor, Privately Held and Family-Owned Entity, Long-Term Investment, Strategic Advantages, and Good People with Shared Values. Mahou San Miguel emphatically checked all of those boxes for us and is our ideal partner for continued growth, remaining faithful to our beers and our culture. It is with great satisfaction that we stand side by side such a respected family company with a dedicated focus on brewing and the future.”

    Eduardo Petrossi, CEO, Mahou San Miguel adds, “This new alliance, between two family companies, has been possible thanks to the passion we share for beer and tradition, and that we have similar values. We share the commitment with the communities in which we are present, our long-term vision, concern for the development and well-being of individuals and our aim of doing things right, placing the consumer always at the centre of our decisions. Avery Brewing stands out due to the excellence of its beers, recognised on numerous occasions, with a focus on tradition, but also innovation, ingenuity and creativity.”

    First Beverage Group is serving as exclusive financial advisor to Avery Brewing Co. in the transaction. The deal is expected to close in January 2018.

    About Avery Brewing Co.
    Since 1993, Avery Brewing has been committed to producing eccentric ales and lagers that defy styles and categories. Founded in Boulder, Colorado, by Adam Avery and his father Larry Avery, Avery was the 3 rd fastest growing Top 50 craft brewery in 2016. Avery continues its obsession with the perfect beer and perfect beer experience- blending Old World tradition and expertise with ingenuity, creativity and boldness. In addition to the brewery’s most emblematic brands (White Rascal, El Gose, Avery IPA, Liliko‘i Kepolo, and The Maharaja), Avery stands out with its assortment of Barrel-Aged Beers, boundary-pushing IPAs, Belgian offerings, and a steady stream of experimental beers.

    For more information, visit http://www.AveryBrewing.com

    About Mahou San Miguel
    Mahou San Miguel is a 100% Spanish-owned family-run company and Spain’s leading brewery. It has eight beer production centers, seven in Spain and one in India, three water springs with their associated bottling plants, and a team of 3,000 professionals. It has a history of over 127 years and a wide portfolio of national beers, including, among others, Mahou Cinco Estrellas, San Miguel Especial and Alhambra Reserva 1925, and also the iconic brand of mineral water Solan de Cabras. It also boasts a wide range of international beers as a result of the agreements entered into with partners such as Carlsberg and Warsteiner.

    Mahou San Miguel has been present in the US market since 2011, where its brands Mahou Cinco Estrellas and Alhambra Reserva 1925 enjoy a growing visibility and penetration, particularly in Florida. In 2014, it signed an agreement with the Craft brewer Founders Brewing, located in Grand Rapids, Michigan, in which it acquired a 30% share. Thus, it became a pioneer in Spain, by carrying out a transaction that enabled it to enter into one of the most dynamic and innovative beer markets in the world.

    For more information, visit http://www.mahou-sanmiguel.com

    ###

    More: https://www.mahou-sanmiguel.com/en-...uel-joins-north-american-brewer-avery-brewing
     
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  2. jmdrpi

    jmdrpi Grand High Pooh-Bah (8,245) Dec 11, 2008 Pennsylvania
    Pooh-Bah Society

    Anyone know the actual % they mean by "minority partner"?

    I assume since they don't say, that it's above the 25% Brewers Association Craft Brewer definition level?
     
    zid likes this.
  3. beeeeeeeeeeeer

    beeeeeeeeeeeer Initiate (0) Jul 3, 2010 Colorado

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  4. Bitterbill

    Bitterbill Grand High Pooh-Bah (6,772) Sep 14, 2002 Wyoming
    Pooh-Bah Society

    Good for Adam!
     
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  5. jmdrpi

    jmdrpi Grand High Pooh-Bah (8,245) Dec 11, 2008 Pennsylvania
    Pooh-Bah Society

  6. Prep8611

    Prep8611 Savant (1,208) Aug 22, 2014 New Jersey

    I like Avery and will continue to drink their beers happily!
     
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  7. DISKORD

    DISKORD Initiate (0) Feb 28, 2017 South Carolina

    There goes another one...
     
  8. LADEDA

    LADEDA Initiate (0) Jul 29, 2014 Florida

    Uncle Jacob can buy new teeth. Bite me again, Big Jake.
     
    bbtkd likes this.
  9. MNAle

    MNAle Initiate (0) Sep 6, 2011 Minnesota

    Another hit to the ol' craft beer growth charts at the Brewers Association!

    (Which, at this point, is of decreasing usefulness in measuring the market...)
     
    alucard6679, sharpski, Ranbot and 3 others like this.
  10. jbakajust1

    jbakajust1 Pooh-Bah (2,528) Aug 25, 2009 Oregon
    Pooh-Bah Society

    Although, according to the Brewers Association, this is no longer a Craft Brewery, it is not owned by a beer conglomerate seeking to destroy Craft Beer. I see no issue with continuing to drink their beers.
     
  11. mklisz

    mklisz Pooh-Bah (1,911) Dec 31, 2010 New Hampshire
    Pooh-Bah Society Trader

    Will Avery still be pouring at EBF LA in December and EBF Boston in February?
     
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  12. zid

    zid Grand Pooh-Bah (3,058) Feb 15, 2010 New York
    Pooh-Bah Society Trader

    Hmmm. I wonder what the small craft-inspired Spanish breweries privately think about Founders' launch in Spain.
     
    #12 zid, Nov 28, 2017
    Last edited: Nov 28, 2017
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  13. DavidHume

    DavidHume Maven (1,335) Mar 25, 2013 Virginia
    Trader

    Tin-foil hat game is strong...
     
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  14. jbakajust1

    jbakajust1 Pooh-Bah (2,528) Aug 25, 2009 Oregon
    Pooh-Bah Society

    Probably the same thing that all the small Craft Breweries in the Carolinas think about New Belgium and SN dropping into their playground... At some level every large brewery, whether independently owned or not, is a threat to the smaller guys. And then the smaller guys become a threat to the big guys as they crank out new and innovative beers and the flagships of the 80s struggle to keep a following.

    When ever one of these acquisitions happen I, personally, look at who purchased them. Firestone Walker and Boulevard owned 100% by Duvel Moortgat... that is an independent non-craft brewery that owns these well know Craft favorites. Hop Valley, nope, Miller/Coors. Not sure why we are all okay with FW and not Avery.
     
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  15. jbakajust1

    jbakajust1 Pooh-Bah (2,528) Aug 25, 2009 Oregon
    Pooh-Bah Society

    Did I miss something? Does this Spanish brewery knock out Craft in its area, if so please enlighten me (legit, not a snarky comment), as I don't know anything about them except what the press release above says.
     
    #15 jbakajust1, Nov 28, 2017
    Last edited: Nov 28, 2017
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  16. jesskidden

    jesskidden Grand Pooh-Bah (3,071) Aug 10, 2005 New Jersey
    Pooh-Bah Society Trader

    Duvel Moortgat is considered "Craft" by the Brewers Association - listed at #6 for the 2016 Rankings.

    "We" ? If you're a member of the Brewers Association or, at least, base your opinion on their definition, it's San Miguel Mahou's yearly barrelage that eliminates them from being "Craft".
     
  17. jbakajust1

    jbakajust1 Pooh-Bah (2,528) Aug 25, 2009 Oregon
    Pooh-Bah Society

    Thanks, that is good to know. Was not aware that the BA had applied the Craft moniker to older European breweries that weren't part of the Craft Beer movement in the states or an outflow of the movement in other countries. Learn something new every day.
     
  18. iebforever

    iebforever Initiate (0) Jan 19, 2009 California

    I don't have a problem with Firestone being part of Moortgat (Duvel, etc.) or Boulevard or Ommegang. They didn't sell their brewery, they formed a partnership. They have a stake in the larger company that includes all of those brands. They haven't engaged in any of the predatory practices that ABInbev and others have. If this Spanish brewery is only purchasing a minority stake in Avery, it's clear that Avery continues to have control over their enterprise.
     
  19. BigJim5021

    BigJim5021 Savant (1,227) Sep 2, 2007 Indiana

    They must've been busy working out this deal considering we just got Avery back in the state last week and the first shipment was 4,5 and 6 month old IPAs.
     
  20. Oktoberfiesta

    Oktoberfiesta Initiate (0) Nov 16, 2013 New Mexico

    They've been in NM for a year or two now. I rarely grab for their beers. Too similar to all the others. And yes. Old ipas. I think this just reinforces their eagerness for international growth. The owners get a nice little pay check and get the help to grow overseas. This does little as far as us growth imho. Sucks that none of these guys want to grow organically or do it alone. Just don't lie to us. The paycheck must be really really nice. The whole company could go under and the owners are set for life.

    As far as I can see from their website, they are in 38plus states and two countries. They've probably maxed out of US growth and saw the writing on the wall. Crazy and sad reality for so many breweries. That their only chance at survival is non stop growth. Definitely not sustainable. I don't want to see places fail but it is bound to happen soon
     
    #20 Oktoberfiesta, Nov 28, 2017
    Last edited: Nov 28, 2017
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