USA: Genesee Brewing Buyout Collapses
Genesee Brewing Co., has canceled an agreement to sell the fifth-largest US brewery to Platinum Holdings, owner of City Brewing Co. in La Crosse, Wis.Tom Hubbard, chief executive said "we believe that the interests of our shareholders will be better served by terminating the agreement." Genesee stated that the reason for the collapsed deal was that unspecified terms were not met. It is now exploring alternative strategies including a management-led buyout.Genesee produces 1.6 million barrels of beer and ale a year and had revenues of $103.3 million in the 1998-99 fiscal year. The buyout was to have been completed by mid-March. Under the deal, Genesee Brewing would operate under a new name with most of its 470 workers retaining their jobs.Genesee said it has saved about $8 million after a turnaround program it started last summer. In December, it reintroduced its 12 Horse Ale brand and is aiming to reinvigorate its Genesee line with promotional campaigns during this summer.
Get full access to all content, just $1 for 30 days
A Message From The Editor
just-drinks gives you the widest beverage market coverage.
Paid just-drinks members have unlimited access to all our exclusive content - including 16 years of archives.
I am so confident you will love complete access to our content that today I can offer you 30 days access for $1.
It’s our best ever membership offer – just for you.
Olly Wehring, editor of just-drinks
- Craft spirits shake-out will be just the beginning
- The decline of the flagship beer brand - Comment
- How Treasury is rewriting the rule book - Comment
- Job cuts not the whole story at AB InBev - Comment
- Interview- Veltins export manager Udo Bruns
- Diageo revamps Gordon's gin bottle in UK
- Diageo brands need "fixing and nurturing" - TWE
- Craft Brew Alliance poised for AB InBev takeover?
- SAB shareholders granted AB InBev vote split
- Pernod deal rescues Corby's FY
- The Next Seven Big Beverage Markets
- Global rum insights - market forecasts, product innovation and consumer trends
- Global RTD insights - market forecasts, product innovation and consumer trends
- Carlsberg AS (CARL B) - Financial and Strategic SWOT Analysis Review
- Adultifying Soft Drinks; Capitalizing on rising adult demand for non-alcoholic beverages