Southern Tier Brewing Co is set for major growth after agreeing to accept an undisclosed investment from private equity group Ulysses Management and appointing a new CEO.

In a statement late last week, the firm, the US's 31st largest craft brewer by volume, said it had entered a “partnership” with New York-based Ulysses. Southern Tier, based in Lakewood, New York, said the deal would fund “continued expansion of the brewery, new distribution support, sales force growth, and enhanced branding and marketing initiatives”. It is also planning to open a craft distillery.

No details were given on the size of the investment, or how big a stake Ulysses has taken in the craft brewer. Southern Tier has yet to respond to a request for comment. 

However, industry website Brewbound quoted the brewer's co-founder, Phin DeMink, as saying he will retain a “financial interest” in the company.

Paul Barnett, Ulysses Management's MD said: “Southern Tier will remain a proudly independent leading craft brewer while benefitting from the tools and resources of a larger organisation.”

Phin De Mink added: “The (beer) industry is maturing and increasing competition is forcing brewers to adapt. I think a patient long-term partnership with people who appreciate the craft movement can play an important role in helping the brewery reach its full potential.” 

Ulysses' investment remains subject to licensing approval, the companies said. 

Meanwhile, Southern Tier has also appointed John Coleman as its new CEO. Coleman is a former president & COO of Pabst Brewing Co and ex Anheuser-Busch executive. 

Southern Tier's brewery, built in in 2009, has an annual capacity of around 200,000 barrels. Last month, the company launched the DeMunck’s Hard Cider brand and will be opening a sister craft distillery in 2015.