Marston’s to take over Charles Wells’ brewing business
UK-based Marston’s is set to purchase Charles Wells Group’s brewing business in a deal valued at £55m.
The business deals with more than 30 beer brands such as Bombardier, Young’s, and McEwan’s, alongside the UK distribution rights for multiple brands such as Estrella Damm, Kirin, and Erdinger.
Charles Wells Brewery's chief executive officer (CEO) Justin Phillimore said: “After a detailed review of our strategy we had decided to re-balance the company more towards retail investment and that meant finding a partner we could work with for the future.
“There are opportunities for both companies in this deal and we look forward to bringing them to life.”
The deal also includes a long-term exclusive agreement between the firms, under which the Charles Wells pub estate will be supplied with all beer, wine, spirits, and minerals by Marston’s.
The transaction is expected to support Marston’s bottled, canned, and cask ale markets; licenced brands business; and its footprint in London and the South East.
The acquisition will also help towards the firm’s production and distribution efficiency, production capabilities for lager brewing and canning, as well as also offering a platform for the expansion of its business into Scotland.
Marston’s CEO Ralph Findlay said: “The acquisition of Charles Wells brewing and beer business builds on Marston’s established brewing prowess and is a further step in our objective to develop the leading premium beer business in the UK market.
“We have demonstrated our ability to acquire, integrate, and develop beer brands evidenced by the success of brands such as Hobgoblin, Wainwright, and Lancaster Bomber.
“We have also achieved success with international licensed brands including Shipyard, now the second biggest craft beer in the UK on trade.”
Marston’s operates through five breweries in England and its portfolio of licenced brands includes Shipyard, Warsteiner, Kruzovice, and Kingstone Press.