Beam Suntory has announced a long-term, strategic partnership with the Boston Beer Company that will bring iconic brands into some of the fastest-growing beverage alcohol categories.
The collaboration will see the Sauza tequila brand enter the ready-to-drink beverages (RTDs) category, and Truly Hard Seltzer make its way to the bottled spirits segment.
The expansion of Sauza into RTD format will leverage Boston Beer's expertise, production capabilities and distribution footprint.
Truly Hard Seltzer'e entry into the bottled spirits segment will benefit from Beam Suntory's distilling expertise and robust distribution network.
By mid-2022, the first new products from this partnership will be available across consumer retail channels in the United States.
'The Perfect Partner'
Commenting on the partnership, Dave Burwick, CEO of The Boston Beer Co, said, "Our industry is rapidly evolving, and consumers are looking for new and exciting options that suit a wide variety of occasions, and we couldn't be happier to have found the perfect partner to extend our brands into the spirits category.
"Beam Suntory shares our pioneering, entrepreneurial spirit, and the obsession with delivering high-quality products. This unique, win-win collaboration opens a new frontier for our industry-leading Truly Hard Seltzer brand as we expand into bottled spirits and also allows us to bring a great tequila brand into our best-in-class wholesaler network."
Boston Beer's existing portfolio includes top brands such as Samuel Adams and Dogfish Head beer, Truly Hard Seltzer, Twisted Tea Hard Iced Tea, and Angry Orchard Hard Cider.
Beam Suntory is already an RTD leader in Japan, Australia and Germany, leveraging brands like Jim Beam, Canadian Club and -196°.
The collaboration with Boston Beer adds to its fast-growing US RTD business, building on the acquisition of On The Rocks premium cocktails and the launch of Hornitos seltzers and the Jim Beam Highball.
'Tapping Opportunities In adjacent Categories'
"We are each tapping opportunities in adjacent categories by unleashing our shared creativity and respective distribution strengths in spaces that resonate with consumers," said Albert Baladi, Beam Suntory President & CEO.
"We're expanding the reach of loved, iconic brands that have tremendous equity, credibility, and consumer loyalty. Beam Suntory and Boston Beer understand brand building, and as pioneers in premium spirits and craft beer, our combined possibilities are limitless."
Last year, Beam Suntory announced the acquisition of On The Rocks ready-to-drink cocktail brand for an undisclosed sum.