Craft Brewer Kings & Convicts Brewing Co. to Acquire Ballast Point
December 03 2019 - 4:30PM
Chicagoland-based Kings & Convicts Brewing Co. and
Constellation Brands, Inc. (NYSE: STZ and STZ.B), a leading
beverage alcohol company, announced today that Kings & Convicts
has signed an agreement with Constellation to acquire the Ballast
Point brand and a number of its associated production facilities
and brewpubs, excluding Constellation’s Craft & Specialty
operations in Daleville, Virginia. This transaction is expected to
close by the end of Constellation’s fiscal 2020.
“We’re excited to welcome the team at Ballast Point into the
Kings & Convicts family,” said Brendan Watters, Kings &
Convicts’ chief executive officer. “We have long admired the
quality and spirit of Ballast Point’s brands and team. Ballast
Point’s best-in-class brewing standards will remain unchanged,
delivering the same high-quality, award-winning products the
company has become known for over the years. Our goal is to
leverage Ballast Point’s deep know-how, talented and passionate
employee base, and outstanding operating team to grow both Ballast
Point and Kings & Convicts together.”
As part of this agreement, Kings & Convicts will retain all
positions within Ballast Point’s existing workforce, with plans to
hire additional resources to support the future growth of the
business.
“Trends in the U.S. craft beer segment have shifted dramatically
since our acquisition of Ballast Point,” said Bill Newlands,
Constellation Brands president and chief executive officer.
“Ballast Point remains one of the most iconic craft beer brands in
the country and we’re pleased to transition the business to an
owner that can devote the resources needed to fuel its future
success. At the same time, this decision allows Constellation to
focus more fully on maximizing growth for our high-performing
import portfolio and upcoming new product introductions, including
Corona Hard Seltzer, scheduled to launch this spring.”
Constellation expects to realize slightly improved depletion and
margin trends for the beer business upon close of this transaction.
Terms of the transaction were not disclosed.
About Kings & Convicts Brewing Co.Kings
& Convicts started brewing for the public in Highwood, Illinois
in 2017. Conceived by an Englishman and an Aussie, Kings &
Convicts was built on the freedom of anti-authority and the spirit
of fellowship. They brew ales and lagers inspired by the tales of
convicts, royalty and the undercurrent of American gangsters. Every
beer tells a story. Kings & Convicts’ beer is available in
draft and cans at their taproom and in bars and restaurants across
Chicagoland and southern Wisconsin. For more information, follow
along on Instagram and Facebook, and visit
www.kingsandconvicts.com.
About Constellation BrandsConstellation Brands
(NYSE: STZ and STZ.B), a Fortune 500® company, is a leading
international producer and marketer of beer, wine and spirits with
operations in the U.S., Mexico, New Zealand, and Italy.
Constellation is the No. 3 beer company in the U.S. with high-end,
iconic imported brands such as the Corona and Modelo brand families
and Pacifico. Its high-quality, wine and spirits brands include the
Robert Mondavi and The Prisoner Wine Company brand families, Kim
Crawford, Ruffino, Meiomi, and SVEDKA Vodka. The company’s
portfolio also includes a collection of highly-rated wine brands
such as SIMI and Mount Veeder Winery, spirits brands High West
Whiskey and Casa Noble Tequila, as well as new wine innovations
such as Cooper & Thief, 7 Moons, and Crafters Union.
Based in Victor, N.Y., the company believes that industry
leadership involves a commitment to brand building, our trade
partners, the environment, our investors and to consumers around
the world who choose our products when celebrating big moments or
enjoying quiet ones. Since its founding in 1945, Constellation’s
ability to see, meet and stay ahead of shifting consumer
preferences and trends across total beverage alcohol has fueled our
success and made us one of the top growth contributors in beverage
alcohol in the U.S.
To learn more, follow us on Twitter @cbrands and visit
www.cbrands.com.
Forward-Looking StatementsThis news release
contains forward-looking statements. All statements other than
statements of historical fact are forward-looking statements. The
word “expect,” and similar expressions are intended to identify
forward-looking statements, although not all forward-looking
statements contain such identifying words. These statements may
relate to business strategy, future operations, prospects, plans
and objectives of management, as well as information concerning
expected actions of third parties. All forward-looking statements
involve risks and uncertainties that could cause actual results to
differ materially from those set forth in, or implied by, such
forward-looking statements.
The forward-looking statements are based on management’s current
expectations and should not be construed in any manner as a
guarantee that such results will in fact occur or will occur on the
timetable contemplated hereby. All forward-looking statements speak
only as of the date of this news release and neither Constellation
Brands, Inc. nor Kings & Convicts Brewing Co. undertakes any
obligation to update or revise any forward-looking statements,
whether as a result of new information, future events or otherwise.
The transaction between Constellation Brands, Inc.’s subsidiary
Home Brew Mart, Inc. and Kings & Convicts is subject to the
satisfaction of certain customary closing conditions, including
receipt of approvals. There can be no assurance the transaction
will occur or will occur on its contemplated terms or
timetable.
In addition to risks and uncertainties associated with ordinary
business operations, the forward-looking statements contained in
this news release are subject to other risks and uncertainties,
including completion of the announced transaction; the accuracy of
all projections; and other factors and uncertainties disclosed from
time-to-time in Constellation Brands, Inc.’s filings with the
Securities and Exchange Commission, including its Annual Report on
Form 10-K for the fiscal year ended February 28, 2019 and its
Quarterly Report on Form 10-Q for the fiscal quarter ended
May 31, 2019, which could cause actual future performance to
differ from current expectations.
Kings & Convicts Brewing Co.:
MEDIA CONTACTS |
|
Peyton Robertson |
858-382-4922 |
peyton@baybirdinc.com |
Alex Harmon |
619-905-8889 |
alex@baybirdinc.com |
Constellation Brands:
MEDIA CONTACTS |
|
INVESTOR RELATIONS CONTACTS |
Mike McGrew |
773-251-4934 |
michael.mcgrew@cbrands.com |
Patty Yahn-Urlaub |
585-678-7483 |
patty.yahn-urlaub@cbrands.com |
Amy Martin |
585-678-7141 |
amy.martin@cbrands.com |
Bob Czudak |
585-678-7170 |
bob.czudak@cbrands.com |
Maggie Bowman |
213-500-2401 |
maggie.bowman@cbrands.com |
Tom Conaway |
585-678-7503 |
thomas.conaway@cbrands.com |
A downloadable PDF copy of this news release enhanced with
multimedia links can be found here:
http://ml.globenewswire.com/Resource/Download/1adfdf7e-6d42-43cf-9696-7c527511f859
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