USA, CA: New Belgium Brewing purchasing assets of Magnolia Brewing Company
New Belgium Brewing Company has entered into an agreement to purchase the assets of San Francisco’s Magnolia Brewing Company, as a part of a bankruptcy proceeding. The majority stake will be owned by New Belgium, with minority stakes owned by Elysian Brewing founder Dick Cantwell and Belgian lambic producer Oud Beersel, Beer Street Journal reported on August 11.
Magnolia Brewing will continue to operate at both locations, with all beer brands and staff intact. Cantwell will assume the role of head of brewing operations, working alongside Magnolia founder Dave McLean.
Cantwell left Elysian Brewing in April of 2015, shortly after the brewery sold to Anheuser-Busch InBev. The role at Magnolia Brewing is his first in the beer industry since leaving Elysian.
“Brewing with friends” is how New Belgium characterizes this new partnership. The goal is to bring fresh brewing experience into the fold at Magnolia and advance the brand, not turn these locations into New Belgium pubs. In time, new beers will grace Magnolia’s lineup.
Oud Beersel’s role will be interesting. Eventually, the famed lambic producer will ship containers of their spontaneously fermented beer to San Francisco to blend with Magnolia’s beers. Oud Beersel has already worked with New Belgium and Brouwerij Boon on Transatlantique Kriek, available from New Belgium. Expect New Belgium to be involved in blending collaborations in San Francisco as well.
A coolship, along with new wood vessels (foudres, puncheons, etc) are already in planning for Magnolia in the near future.
To be called lambic the beer must be produced in Belgium, and by shipping lambic to San Francisco, the world’s first dedicated lambic blendery outside of Belgium will be established.
Magnolia Brewing was established by McLean in 1997. The brewery’s financial difficulties surfaced in 2015 after construction delays in the construction of Smokestack, a barbecue restaurant they opened attached to the 30-barrel brewery. Magnolia filed for Chapter 11 bankruptcy protection in November 2015.
The financial terms of the deal were not disclosed. The deal is expected to close in September 2017.
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