Company founder Bill Shufelt (left) and head brewer John Walker stop by Athletic Brewing’s non-alcoholic brewery and production facility in Stratford, Connecticut, on March 20, 2019.
Spencer Pratt | Getty Images
Athletic Brewing Company, a leading non-alcoholic beer maker, announced Tuesday that it has raised an additional $50 million in equity financing in a round led by General Atlantic.
Athletic CEO and founder Bill Shufelt told CNBC the company expects General Atlantic to “eventually invest substantially.” “Gaga Box” Tuesday morning. The brewer plans to use its latest investment to increase production capacity and expand its product range at retailers globally to meet growing consumer demand for alcohol-free beers.
“We are passionate about changing the way modern adults drink and turning critics into believers. We are at the beginning of a long-term trend and we are extremely excited to have General Atlantic by our side as Athletic begins its next phase of growth. ,” the company said in a statement Press release.
Athletic Brewing launched its non-alcoholic craft brewery in 2018 and has since grown to become the 10th largest craft brewery in the U.S. and the 20th largest overall in the U.S. despite only offering non-alcoholic options, according to the Brewers Association rankings Beer company.
According to NielsenIQ data, Athletic has more than 19% market share in the non-alcoholic beer segment and has driven the non-alcoholic beer category’s growth by 32%.
“Revenue has more than doubled since our Series D round about 18 months ago,” Shufelt said on CNBC.
The Wall Street Journal reported on Tuesday With the latest round of financing, the company’s valuation has also doubled, now reaching $800 million.
The company currently has two breweries in the United States, one in Milford, Connecticut, and one in San Diego. Athletic recently announced the purchase of a third U.S. brewery, also located in San Diego. Athletic expects the facility, once operational, will help double its U.S. brewing capacity.
“Last year our company sold over 3 million cases, over 100 million cans, and generated over $90 million in revenue, and this year we’re growing well beyond that,” Shufelt said.
The company’s success is largely due to Growing health and wellness trends This is driving consumer interest in non-alcoholic beverages.
More than 40% of Americans say they are actively trying to drink less by 2024, according to recent survey data Provided by NCSolutions. The data shows that this jumps to 49% when surveying Millennials, and to 61% among Gen Z.
Well-known beer companies such as Heineken, Constellation brandWith Corona, Anheuser-Busch Budweiser even Diageo’s Guinness has also followed this trend and launched its own alcohol-free beer product.
“We want to give people a beer they can drink seven nights a week and feel good about,” Shufelt said. “We’ve invested over $100 million in manufacturing, which really is unprecedented in this segment. See the differentiated quality.”
