Benzinga | Jan 10, 2022 01:38PM EST

Molson Coors Plans To Sell Its San Diego Brewery To Kings & Convicts Brewing Co; Terms Not Disclosed

https://www.molsoncoors.com/av?url=https://www.molsoncoors.com/news/news-center/molson-coors-cease-operations-saint-archer-brewery-and-distribution-its-brands

The company plans to sell its San Diego Brewery to Kings & Convicts Brewing Co, and remains focused on growing its craft portfolio and overall share in above premium beer

GOLDEN, Colo., and MONTREAL, Quebec -- Molson Coors Beverage Company (NYSE:TAP, TSX:TPX) today announced that it will cease operations of the Saint Archer brewery and remove Saint Archer brands from the retail marketplace. The company also plans to sell its brewery and taproom located in greater San Diego, California to Kings & Convicts Brewing Company, a San Diego-headquartered craft brewery.

"The Saint Archer team has built a distinct brand that has a very loyal following in Southern California. Unfortunately, the overall business has struggled to grow despite investing significant resources behind its production and commercialization," said Paul Verdu, Vice President of Tenth and Blake, Molson Coors craft division. "We'll maintain ownership of the Saint Archer brand as we determine the best long-term plan and remain focused on growing our regional breweries that continue outpacing home-market competitors."

The sale to Kings & Convicts includes a brewery located in the Miramar neighborhood of San Diego and all its physical assets as well as the 1,200 square foot taproom in the coastal city of Leucadia in North County San Diego. The Miramar brewery will effectively become the new operating headquarters for Kings & Convicts Brewing Company, where the company will begin brewing its own year-round core portfolio and specialty releases, small batch beers for Ballast Point Brewing Co., and brand-new craft beverage products.

Kings & Convicts intends to retain all the current operations and tasting room team members at both locations.

"We are excited for the acquisition of the brewing facility and taprooms, as well as the talented production and taproom staff," said Kings & Convicts co-owner and CEO, Brendan Watters. "We wish Molson Coors the best with the Saint Archer brand."

Regional craft brands remain an important priority for Molson Coors as the company aims to grow its share of the Above Premium beer segment.