New Belgium Brewing has entered into an agreement to acquire a 259,000-square-foot production brewery in Daleville, Va., from Constellation Brands — a facility that was built in 2017 for $48 million to act as a hub for Ballast Point beer, which Constellation has since sold. The facility can produce beer, flavored malt beverages, seltzer and spirits/wine-based ready-to-drink beverages. The facility will add 125,000 barrels to New Belgium’s annual beer capacity, according to reports.
The deal is expected to close in May, at which time, New Belgium expects to begin brewing its Voodoo Ranger IPA brand, focused on Voodoo Ranger Juice Force IPA and Fruit Force IPA beers. In addition, New Belgium and Constellation Brands will enter into a co-packing agreement by which New Belgium will manufacture Constellation’s Fresca Mixed beverage as well as other select beer brands for Constellation at the Daleville facility.
All of Daleville’s approximately 60 workers will be offered a seamless transition to New Belgium employment at equal or greater pay than before. The acquisition pertains only to the facility and none of Constellation’s brands. New Belgium announced there are no plans to open a taproom at the facility at this time, a feature of the facility years ago.
The Daleville’s FMB, seltzer and RTD capabilities offer New Belgium intriguing opportunities to expand the company’s product lines through R&D and product innovation.
