Southern Glazer’s Expands In New York, Acquiring A-B’s NYC Wholesale Operation

Southern Glazer’s is expanding in the New York market, agreeing to acquire Anheuser-Busch’s owned wholesale operation in New York City for an undisclosed sum. With the deal, the company will launch Southern Glazer’s Beverage Company of New York, covering Manhattan, Queens, Staten Island, and the Bronx, and marking a big move for the company in the beer and RTD category, with its portfolio now covering Anheuser-Busch’s full product portfolio sold in the New York City area.

“We could not be more excited to expand our business with Anheuser-Busch, the leading brewer and malt beverage supplier in the industry and an emerging leader in spirits and energy drinks, by acquiring their owned New York City distribution operation,” said Southern Glazer’s CEO Wayne Chaplin. “We look forward to welcoming all current employees at this location to the Southern Glazer’s team and working together to grow these iconic brands.”

Southern Glazer’s says the new dedicated New York beverage division will focus on growing Anheuser-Busch’s portfolio and be led by Devyn Dugger as SVP, New York Beverage Division, Southern Glazer’s Beverage Company. Duggar is a 20-year veteran of the Anheuser-Busch independent beer wholesaler network. Most recently he spent 10 years at Ohio Eagle Distributing in West Chester, OH, as president.

“Our deep expertise, capabilities, and knowledge of the New York City market will enable us to build on the strong momentum that the Anheuser-Busch distribution team has created and further position our companies for collective growth,” said Mark Chaplin, Southern Glazer’s president of commercial sales.

Anheuser-Busch is by far the largest brewer in the U.S., with beer volume of 909 million (2.25-gallon) cases on a 3.7% decline last year, according to Impact Databank, led by 17-million-barrel Bud Light and 13-million-barrel Michelob Ultra. But it’s also a growing player in spirits-based RTDs with brands like Cutwater and Nütrl, both of which earned Impact “Hot Brand” awards after reaching 4 million (9-liter) cases and 2.7 million cases last year respectively.

New York is already the fourth-largest market nationwide for Southern Glazer’s at a projected $2.5 billion this year, according to Shanken’s Impact Newsletter, with the company leading the wholesale wine and spirits market in the state. Now the leading player in wine and spirits distribution nationwide is positioning itself as a major player in the New York City beer and RTD market as well.

“We are confident this move will strengthen our business and we are excited to work together with Southern Glazer’s to continue to provide world-class service to our retail customers and consumers across New York City,” said Simon Wuestenberg, chief sales officer, Anheuser-Busch.—Daniel Marsteller

Tagged : Anheuser-Busch, Southern Glazer's

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