In another sign that global brewers are morphing into ‘beverage companies’ through diversification, Molson Coors Beverage Co. announced that it has acquired a minority stake in Fever-Tree.
Molson Coors will pay $88 million for an 8.5% share in the UK-based drinks-mixer company, best known for its high-end tonic mixers. The acquisition was billed as a strategic partnership arrangement to expand the tonic water producer’s US footprint.
As part of the deal, the North American group will gain exclusive rights to sell Fever-Tree in the US and will manage the onshoring of production in the country as reported in Global Drinks Intel.
The US is the biggest market by sales for Fever-Tree, accounting for around 35% of sales. The brand has picked up widespread distribution in both chain store and indie retail off-premise across the country. In addition to the popular tonic mixers they also make Madagascan Cola and Ginger Ale.