Kings & Convicts Brewing to acquire Ballast Point from Constellation Brands. Credit: Kings And Convicts Brewing.

US-based Kings & Convicts Brewing has signed an agreement to acquire Ballast Point brand from alcoholic beverages producer Constellation Brands.

Kings & Convicts’ acquisition will include Ballast Point’s four brewpub locations in California, including Downtown Disney / Anaheim, Long Beach, Miramar and Little Italy, and the newest Ballast Point brewpub in Chicago’s Fulton Market District which opened in May.

Ballast Point’s original home brewing supply and tasting room in San Diego’s Linda Vista neighbourhood will also form part of the acquisition.

Constellation’s production brewery in Daleville, Virginia is not included in the acquisition and will remain a part of the company’s Craft & Specialty division.

Kings & Convicts CEO Brendan Watters said: “We’re excited to welcome the team at Ballast Point into the Kings & Convicts family.

“We have long admired the quality and spirit of Ballast Point’s brands and team. Ballast Point’s best-in-class brewing standards will remain unchanged, delivering the same high-quality, award-winning products the company has become known for over the years.”

As part of the agreement, Kings & Convicts will retain all positions within the existing workforce of Ballast Point, consisting of 560 employees.

By using Ballast Point’s exiting distribution network in the US, Kings & Convicts plans to hire a sales and marketing workforce to support long-term growth in all 50 states.

Constellation Brands president and CEO Bill Newlands said: “Ballast Point remains one of the most iconic craft beer brands in the country and we’re pleased to transition the business to an owner that can devote the resources needed to fuel its future success.

“At the same time, this decision allows Constellation to focus more fully on maximising growth for our high-performing import portfolio and upcoming new product introductions, including Corona Hard Seltzer, scheduled to launch this spring.”

The deal is subject to the receipt of all licenses and permits and is expected to take place by the end of Constellation’s fiscal 2020.