Craft Brew Alliance, a Portland-based brewing company that creates craft beers, and Anheuser-Busch jointly announced an agreement to expand their partnership, with AB agreeing to purchase the remaining CBA shares it does not already own in a merger transaction for $16.50 per share, in cash. AB currently owns a 31.2 percent stake in CBA.

“Today’s announcement represents an exciting next step in a long and successful partnership with Anheuser-Busch, whose support for the growth of our business and brands traces back over 25 years,” said Andy Thomas, CEO of CBA. “By combining our resources, our talented teammates, and dynamic brands, we will look to nurture the growth of CBA’s existing portfolio as we continue investing in innovation to meet the changing needs of today’s beverage consumers, all while delivering certainty of value to our shareholders.”

The vast majority of CBA’s brands are already distributed through AB’s network of independent wholesalers per the companies’ existing commercial agreement.

The announcement comes as a surprise to some, as AB issued a statement this summer saying that they will not buy the remaining shares of CBA. Marcelo Michaelis, president, Brewers Collective, Anheuser-Busch was quoted as saying: “While we are not making an offer to purchase the remaining shares of CBA, our existing commercial partnership with CBA continues to be a key complement to our industry-leading craft portfolio and we look forward to working together for many years to come."

CBA would join AB’s Brewers Collective – a collection of craft partners spread throughout the USA committed to providing consumers with innovative, quality beers and investing in their local communities. In the last three years alone, AB has invested more than $130 million in its craft partners, allowing them to expand their production volume by an average of 31 percent. AB’s craft partners have created nearly 1,000 new jobs in their home communities to support their growing breweries.

The transaction is subject to customary closing conditions, including approval by a majority of CBA’s shareholders not affiliated with AB and certain regulatory approvals. The transaction is expected to close in 2020.