E-Malt.com News article: USA: Craft Brewers Alliance acquires Kona Brewing

The Hawaii-based Kona Brewing Company is now an entirely owned subsidiary of the Craft Brewers Alliance Inc. (CBA), a beer brewing company with headquarters in Portland, Oregon. CBA bought the company for a little under $14 million, Maui Weekly reported on August 14.

The merger will assist Kona to expand its brand and distribution while maintaining its craft brewery operations in Hawaii.

On account of this merger agreement, which strengthens the duo's nine-year partnership, Kona will become a subsidiary of CBA and will be provided the financial, marketing and distribution capabilities that it needs to share its 'Liquid Aloha' with more consumers in Hawaii and the US mainland.

CBA is an independent, publicly traded craft brewing company with a history of partnering with beer brands including Widmer Brothers, Redhook and Goose Island.

Terry Michaelson, CEO of CBA, said: “Over the past nine years, we have worked alongside Kona to help build the brand in Hawaii and on the mainland, and we have been continuously impressed by the quality of Kona's hand-crafted beers and their reflection of Hawaii’s heritage and culture.”

Mattson Davis, president and CEO of Kona, said: “We’re excited about unlocking the full potential of Kona’s unique brews, and Craft Brewers Alliance has been a real advocate for our brand and our story.

"This strengthened commitment to our partnership has been nine years in the making and provides us with the resources and expertise to take our operations to the next level.”

Post merger, Mr Davis will continue to serve as president and CEO of Kona, and will work closely with Mr Michaelson to nurture the Kona brand and position it for long-term growth on the US mainland. In addition, the current owners of Kona will receive an equity stake in the combined entity.

Rich Tucciarione will remain Brewmaster at Kona and the brewery’s operations will remain in Kailua-Kona on Hawaii’s Big Island. Kona Brewing Co has three restaurant sites in Hawaii and beer distribution reaching 28 states and Japan.

Craft Brewers Alliance operates the Widmer Brothers brewery in Portland, Oregon, and Redhook breweries in Woodinville, Washington., and Portsmouth, New Hampshire. The company distributes its brews and those of Kona and Goose Island throughout the US via a network of wholesale distributors.


13 August, 2010