Anheuser-Busch InBev Acquires Northern Brewer & Midwest Supplies

The rumors started days ago have ended in the last 48 hours with confirmation direct from Northern Brewer and Midwest Supplies today that indeed, they were acquired by Anheuser-Busch InBev, the multi-national super conglomerate that owns Budweiser and Miller. More precise the deal was announced as being completed by 'ZX Ventures', the disruptive growth unit of AB InBev. Anheuser-Busch InBev now has market share of 70% of beer sales in the United States after getting Justice Department approval of a merger.

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Northern Brewer opted for Chris Farley, the listed 'Founder' and not the Northern Brewer President to confirm the announcement today.
Many of you have seen the news that we’ve closed a deal to be acquired by ZX Ventures, the global Disruptive Growth Unit of Anheuser-Busch InBev.

Why would AB InBev Bother with a Homebrew Supply Shop Like Northern Brewer?

Northern Brewer & Midwest Supplies were likely a sought after purchase due to a reported annual revenue of at least $50,000,000. Some worry this acquisition along with their deep capital could allow them to pivot into the wholesale market in an attempt to gain massive control of the homebrew industry in a vertical growth move.
Many on Homebrew Talk and reddit have speculated on exactly what disruptive growth means to the small and tight-knit homebrew community. Only time will tell what impact they will have on the hobby and smaller retailers that help grow and teach the industry.

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[NeoBrew]

Well, that sucks.
I know there will be lots of feelings on this matter. For me they were my LHBS, so it's personal.

 

[NibblesMN]

My guess is that nothing will change, save for additional locations or even franchising of the Northern Brewer brand. AB InBev has no reason to mess with a good thing. The guys at Northern are rad and I'll continue to shop there until something real changes.

 

[Johow]

Watch out, they'll be coming after "Home Brew Talk" next....

 

[madscientist451]

ABInBev Uber alles

 

[Nagorg]

Ugh... Not sure that this is a good thing for the Home brew world. Another corporate giant flexing monetary muscle to affect their domain. They have felt the impact of decreased interest in their bread and butter and are looking for ways to keep revenue up. I do expect that they will eventually, slowly, make enough change that wont be in our favor.

 

[sleepspeaking]

No this has to be great, I'm sure they are going to share all their recipes... Right?
Like any member of the homebrew community?
But now that I think about it.
Anyone remember the commercials bashing craft brew?
https://youtu.be/rF711XAtrVg
If you can't shame them join them I suppose.
I guess this is what they meant by "not backing down"

 

[Kmo4040]

I have to see how this all shakes out, but I have a feeling Morebeer.com will be getting more of my business. I just don't like the idea of giving a "Walmart" type company my business.

 

[raiderrob67]

Yea I can see this going bad for a lot of small,local HBS. they are going to be putting up store's in all over the place and buy up all the ingredients. force the little guy out and force us to buy there product's. FU AB inBev!

 

[PKnotlost]

multi national = more of our money going overseas...

 

[orghitman]

Good for the folks at NB. I hope that scored a good deal. However I am done with them and I expect many others home brewers will be as well.

 

[rmchair]

Well I had my first screwed up order this month and was wondering what wrong. Yeah to the dept of justice for allowing a global conglomerate to control every aspect of an industry.

 

[OakIslandBrewery]

Hopefully nothing will come of it but I fear it's another form of control. Craft brewing has a good following but just about every craft brewer started out as a home brewer.

 

[norrisk66]

AB-InBev does not own MILLER or Coors.

 

[SFC Rudy]

I've been a customer of Midwest for over 15 years. I have noticed the service has been "off" lately. We'll see.

 

[Bwiznutz]

Nothing good can come out of this. Big corporations trying to monopolize the industry and take out the little guys. Must be hard to admit that Joe Brewer can make better beer in his kitchen or garage.

 

[Oxman]

Anheuser-Busch InBev (Budweiser, Coors and Miller) are responsible for the commoditization and dumbing down of beer with short cuts and cheap ingredients. There are things in life more important than money, and money is all that this sale/purchase is about. I have unsubscribed from their e-mails and will purchase from the many independent homebrew retailers left , instead.

 

[bloombrews]

I will never buy a thing from these two suppliers again. So now its only MOREBEER.com for me !

 

[GPP33]

Maybe they'll offer a sweet Bud Light clone kit! Just what every home brewer has always wanted.

 

[3muttsbrewer]

Amen to raiderrob67!!! I'm just a little fish in a big pond and it's bad enough this BS merger with Miller went through and now they're going to fu%#&)!(&)&% with us? We all need to take a stand and RALLY behind our "little guy" suppliers and keep them out of the hands of corporate raiders!!!!!!!!!

 

[JDWebb]

This is disturbing news. I disagree with giant conglomerates swallowing up smaller companies like they were meat on the table, AB/Inbev has zero interest in serving the homebrew community, they've worked hard to stop the craft beer industry until they submitted to the movement and joined in with their own versions of imitation craft brews. Small businesses have two things giant corporations lack, loyalty and relationships, and that weighs heavily while I conduct business with them. It is part of the reason I chose to to do business with them. I will probably spread my purchases around to other craft beer supply companies, I certainly won't be giving them ALL my business like I did before.

 

[popgunandy]

I don't see how this changes anything. Local shops are already beaten on price by internet sales; they survive or die on service and by keeping interest in the hoppy high in their community. It's possible there's a threat to other internet-based brew shops, but that's a big 'maybe.' More than likely, this was just a no-brainer opportunity to buy a steady and growing revenue stream.

 

[Righteoustoad]

I refuse to buy Anheuser-Busch InBev products and this acquisition pushes Midwest Supplies and Northern Brewer into my 'donotsupport' list. I've have good dealings with Adventures in Homebrewing, Morebeer, and Austin Homebrew; they'll be getting more business from me.

 

[gauvinej]

Just a small correction for the post but ss of October 11, 2016 MillerCoors is now wholly owned by the Molson Coors brewing Company. ABInBev had to sell those brands as part of the anti-trust agreement.

 

[matchrocket]

Its getting harder and harder to support the community HBS and breweries when crap like this happens. I like Northernbrewer.... I will gladly pay more NOT to feed the inbev monster and keep money in my community.
To bad really....

 

[colby_cheeze]

My town just got our first LHBS less than a year ago. That couldn't have been better timing, because I'll never order supplies from Northern Brewer again.

 

[TheHairyHop]

This article states that AB InBev owns Coors. It does not. Coors is a part of MolsonCoors

 

[kristiismean]

Good for the owners of Northern Brewer. They worked hard, figured out a Great Working Model, and Hopefully received proper compensation for all their hard work.
I will continue to buy from my local LHBS, and northern brewer and others based on pricing, shipping costs and product quality

 

[TBC]

I just unsubscribed from my Midwest email and told them I won't support InBev. For everyone that is looking at leaving check out Rite Brew. There prices are great and shipping is fast and cheap. I'm not affiliated with them, I found out about them on here.

 

[maaseyracer]

Make sure you unsubscribe from their emails. In the reason section hit other and write in your comments. Then take your business to the other fine retailers.

 

[beirav]

love ritebrew!

 

[Diane Wight]

screw these brands anyway ...there is plenty of better craft beer here

 

[stalwort]

What? No talk about where your LHBS gets THEIR supplies from? In fact, where do they get them from? I have a feeling AB-InBev is looking to be THE main supply chain to all LHBS and online searchers. This is how they intend to make up some of their shrinking beer sales revenue I guess. Not good.

 

[Spartan300man]

"TheHairyHop on October 15th, 2016 - 6:51pm
This article states that AB InBev owns Coors. It does not. Coors is a part of MolsonCoors"
Miller/Coors has merged with AB INBev.

 

[Spartan300man]

so I think that AB_InBev only plans to mix the hops pellets 50/50 with hay and straw, for that distinctive taste they like. So we will need to adjust our recipes accordingly.

 

[Minky]

I guess I will reserve judgement until we see how things shake out, but I won't be surprised if we start seeing some of the supplies, such as the rarer, small-crop hops, disappear from the other suppliers, only to be found at Northern and Midwest.

 

[beerme70]

Well, in order to do that, they will have to buy up L.D. Carlson first. I am all for big business, but man, do I hate BIG BUSINESS. You know what I mean?

 

[WaltStarr]

My response is simple. I've unsubscribed from the NB and MW emails and simply won't purchase a thing from them ever again.
Done deal, plenty of homebrew shops out there. Just have to watch for Morebeer being bought out next.

 

[douglas873]

Cannot blame InBev. You cannot fault them for what was willingly SOLD. If these were privately held companies InBev could not acquire them through force of the dollar. I won't be supporting them though. Hope the Midwest and NB guys made their money and are happy. Good luck to them.

 

[Bill]

I agree with the comments about poor service. Some of their staff, in particular, Cheers James J are rude, arrogant, disrespectful and condescending. I no longer do business with them because of it. I see no change in the homebrew market as there are plenty of other suppliers.