PORTLAND, Ore.--(BUSINESS WIRE)--Craft Brew Alliance, Inc. (“CBA”) (Nasdaq: BREW), a leading craft brewing company, confirmed today that Anheuser-Busch (“A-B”) has not made a qualifying offer to purchase the remaining shares of the Company as indicated in the 2016 International Distribution Agreement. With the expiration of the qualifying offer deadline defined in that agreement, A-B has confirmed it will be making a $20 million one-time incentive payment today. CBA’s existing Master Distribution Agreement remains intact through 2028, and the existing Contract Brewing Agreement and International Distribution Agreement remain intact through 2026.
Chief Executive Officer Andy Thomas said, “While disappointing, with this decision made, management can turn its attention to refining strategic alternatives to maximize shareholder value. Over the past several years, we have built a sustainable infrastructure, optimized our footprint, and amassed a diversified portfolio of brands to support future profitable growth anchored by robust growth in the Kona brand and the addition of our three newly acquired brands. Looking to the future, we are optimistic that our healthy balance sheet, bolstered by the $20 million payment, and strategic investments in innovation and increased brand awareness will enable us to deliver long-term shareholder value. We look forward to sharing more details of our growth plan in the coming weeks.”
CBA will host a conference call on Thursday, September 5, 2019 to provide an update on the Company’s go-forward business strategy and full-year 2019 financial outlook. Interested parties may access details for the live conference on CBA’s Investor Relations site at www.craftbrew.com.
About Craft Brew Alliance
Craft Brew Alliance (CBA) is a leading craft brewing company that brews, brands, and brings to market world-class American craft beers.
Our distinctive portfolio combines the power of Kona Brewing Company, a dynamic, fast-growing national craft beer brand, with strong regional breweries and innovative lifestyle brands: Appalachian Mountain Brewery, Cisco Brewers, Omission Brewing Co., Redhook Brewery, Square Mile Cider Co., Widmer Brothers Brewing, and Wynwood Brewing Co. CBA nurtures the growth and development of its brands in today’s increasingly competitive beer market through our state-of-the-art brewing and distribution capability, integrated sales and marketing infrastructure, and strong focus on partnerships, local community and sustainability.
Formed in 2008, CBA is headquartered in Portland, Oregon and operates breweries and brewpubs across the U.S. CBA beers are available in all 50 U.S. states and 30 different countries around the world. For more information about CBA and our brands, please visit www.craftbrew.com.
