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MillerCoors buys majority stake in 3rd craft brewer

CHICAGO — MillerCoors is adding another craft brewery to its arsenal, the Texas-based Revolver Brewing, marking the third such deal announced in less than a month.

The flurry of moves helps bolster Chicago-based MillerCoors’ craft beer presence in both established and underdeveloped regional markets. Revolver, known for its flagship Blood & Honey wheat ale, joins Terrapin Beer Co. and Hop Valley Brewing Co., situated in Georgia and Oregon respectively, as recent additions to the macrobrewer’s craft beer portfolio. As with the other two deals, MillerCoors is taking a majority interest in Revolver, as opposed to buying it outright. Terms of the deal, which is expected to close in the third quarter, were not disclosed.

“That flagship brand (Blood & Honey) is really what attracted us and Texas is growing like crazy when it comes to craft beer,” said Kirby Nardo, spokeswoman for Tenth and Blake Beer Company, MillerCoors’ craft and imports division.

Though each deal’s unique, a regional strategy has begun to emerge. Like Terrapin, Revolver is a well-known brewery in an underdeveloped but fast-growing market. Hop Valley, known for its “heavy hitting IPAs,” is more of a “style play,” Nardo said, but also gives MillerCoors a presence in Oregon’s robust craft beer scene.

Revolver and Hop Valley both produced almost 40,000 barrels of beer last year, while5Terrapin, which sells beer in 12 Southeast states and the District of Columbia, produced roughly double that amount, Nardo said.

MillerCoors already shares some distribution with the three breweries, Nardo said.

“They were a little behind Anheuser-Busch in terms of acquisitions,” said Eric Shepard, executive editor of Beer Marketer’s Insights, a trade publication covering the beer industry. “They decided to pick up the pace, obviously.”

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