Littleton’s Breckenridge Brewery is one of eight breweries being acquired by global cannabis company Tilray Brands in a deal expected to close later this year.
Tilray, which bought Colorado’s Breckenridge Distillery in 2021, will pay the equivalent of $85 million to Anheuser-Busch InBev for the eight breweries, according to a filing made with the Securities and Exchange Commission Monday.
The eight breweries include: Shock Top, Breckenridge Brewery, Blue Point Brewing Company, 10 Barrel Brewing Company, Redhook Brewery, Widmer Brothers Brewing, Square Mile Cider Company and HiBall Energy.
Tilray said in its announcement of the acquisition that it will become the fifth-largest craft brewer in the U.S. It’s currently the ninth largest, according to data from the Brewers’ Association.
With the purchase, the company says it will triple its beer production from 4 million cases per year to 12 million.
Company leadership said on a call with investors Monday afternoon that the move better positions Tilray in its “CBS growth strategy,” and specifically the cannabis beverage space – a sector that currently comprises 30% of its business.
The deal also allows Tilray to expand its business to new parts of the U.S.
“This fills out, geographically, areas we wouldn’t have been able to go with our current business,” Tilray CEO Irwin Simon said on Monday’s investor call.
Monday’s transaction includes current employees, breweries and brewpubs associated with the eight breweries.
According to The Denver Post, Breckenridge Brewery owns a 12-acre Littleton campus that includes a brewing facility and restaurant, as well as its brewpub in the town of Breckenridge, where the company was founded more than 30 years ago.
The Littleton campus opened in 2015, right before Anheuser Busch In Bev bought Breckenridge and several other craft breweries.
Simon said on Monday’s call the company hopes the deal closes in the next 60-90 days.
