New Zealand-based DB Breweries has teamed up with Redwood Cellars to come up with a joint cider venture, following DB Breweries’ purchase of major stakes in Rosewood Cellars for the production and distribution of cider products in New Zealand and Australia.

The duo will operate as a stand-alone business – Redwood Cider Company, under which both the companies will join their existing cider brands such as Redwood’s Old Mout Cider and DB’s Monteith’s Crushed Apple and Pear Cider, Johnny Arrow and imported Swedish brand Rekorderlig.

Monteith’s Cider is a collaborative product of DB Breweries and Redwood Cellars.

Both Monteith’s Cider and Old Mout Cider brands will be distributed by Drinkworks, a wholly-owned subsidiary of DB Breweries, in Australia.

Redwood Cellars’ managing director Justin Hall will serve as the sole shareholder of the new company and eventually become its managing director.

Scheduled to be fully operational by 1 October 2012, Redwood Cider Company will have a five person board of directors that will be chaired by DB Breweries managing director Brian Blake.

The joint venture will allow DB Breweries concentrate on its core beer business and hand over the cider production, marketing and sales activities to Redwood.

Blake said DB has taken a majority position in Redwoods as part of its growth strategy and sees this as not just a joint venture in terms of investment, but also most importantly as a shared belief that cider is a mainstay.

"Beer may enjoy ‘mature’ market status but cider is still emerging and represents an exciting opportunity for further growth and innovation," Blake added.