This deal brings additional scale in the beverage alcohol categories for Tilray. Breckenridge Distillery joins SweetWater Brewing Company in Tilray’s beverage alcohol portfolio.
Additionally, this further positions Tilray with infrastructure and a larger footprint in the U.S. market, well in advance of national cannabis legalization. When federally permissible, Tilray believes the purchase of Breckenridge Distillery will enable Tilray to commercialize new products through the development of non-alcoholic distilled spirits — including bourbon whisky — that is infused with cannabis.
“Breckenridge Distillery is an iconic addition to our platform in this respect based on its portfolio of award-winning spirits, passionate consumer engagement, and a strong sales and distribution network,” says Irwin D. Simon, Tilray chairman and CEO. “We see tremendous potential for Breckenridge and our existing SweetWater brand to complement each other, expanding their respective reach and driving further profitable growth in our beverage alcohol segment.”
“More generally, the Breckenridge Distillery transaction is consistent with Tilray’s strategy of leveraging our growing portfolio of U.S. CPG brands to launch THC-based product adjacencies upon federal legalization in the U.S,” he adds. “These significant, diversified revenue streams are key to delivering on our ultimate goal of industry leadership with $4 billion in revenue by the end of fiscal year 2024.”
Founded in 2008, Breckenridge Distillery is best known for its blended bourbon whiskey, a high-rye mash American-style whiskey, and a collection of craft spirits.
“We are excited to join Tilray and drive revenue growth as part of its global and leading CPG and cannabis-lifestyle platform,” says Bryan Nolt, Breckenridge Distillery’s founder and CEO. “The award-winning spirits that have driven our success will unquestionably benefit from access to Tilray’s global distribution network and opportunities to expand into cannabis and edible-related products in the U.S.”
Under the terms of the acquisition, the sellers of Breckenridge were led by Sababa Partners I LLC, an entity controlled by Sir Martin E. Franklin.