Anheuser-Busch (AB) InBev has entered into agreement to purchase Long Island-based craft brewery Blue Point Brewing for an undisclosed amount.

The purchase will allow AB InBev to meet the growing demand for its brands.

According to the sources familiar with the situation, the transaction is valued in between $18m and $24m.

Founded by Mark Burford and Peter Cotter in Patchogue, New York, Blue Point produces over 40 beers and has sales that are concentrated along the East Coast.

In 2013, the brewery sold approximately 60,000 barrels, where Toasted Lager, the brewery’s flagship brand, accounted for 50% ofsales.

Some of the other beers sold by Blue Point include Hoptical Illusion, Blueberry Ale and seasonal brands.

Following the purchase, AB also plans to increase the operational capabilities of the Blue Point and enhance the consumer experience over the next few years.

Burford said together, their talented brewing team and Anheuser-Busch will have the resources to create new and exciting beers and share their portfolio with even more beer lovers.

AB InBev CEO Luiz Edmond said as they welcome Blue Point into the Anheuser-Busch family of brands, they look forward to working with Mark and Peter to accelerate the growth of the Blue Point portfolio and expand to new markets, while preserving the heritage and innovation of the brands.

"With Anheuser-Busch’s strong beer credentials, we share a commitment to offering high-quality beers that excite consumers. Blue Point brands have a strong following and even more potential," Edmond added.

The deal is expected to close in early second quarter of 2014.