Future Retirement Success
  • Politics
  • Business
  • Investing
  • Stocks
  • Politics
  • Business
  • Investing
  • Stocks

Future Retirement Success

Business

Fevertree taps Molson Coors with £71m stake sale to fuel US growth

by January 31, 2025
January 31, 2025
Fevertree taps Molson Coors with £71m stake sale to fuel US growth

Premium mixer maker Fevertree has secured a deal with US beverage giant Molson Coors that will see the latter take an 8.5 per cent stake in the British-based company for £71 million, or 654.2p per share.

The move, underpinned by an exclusive licensing agreement, aims to boost Fevertree’s sales, distribution and production footprint across the United States.

Shares in Fevertree, which floated at just 134p in 2014, leapt by 20.2 per cent on Thursday to close at 791p—though this remains far short of the record high of £39.56 set in September 2018. Proceeds from the new stake sale will be returned to Fevertree shareholders through a buyback programme.

Molson Coors, the Chicago-headquartered name behind Carling and Doom Bar, has been broadening its non-alcoholic portfolio in response to declining beer sales, with shipments of US beer last year hitting their lowest levels since the 1990s. “This is a meaningful step towards becoming a total beverage company,” said Gavin Hattersley, Molson Coors’ chief executive, highlighting the opportunity to diversify into premium mixers.

Fevertree founder and CEO Tim Warrillow called the deal a “transformational step”, adding that it reflects growing demand for higher-quality mixers across multiple drink categories in the US, now Fevertree’s biggest market by revenue.

Under the agreement, Molson Coors will leverage its extensive American sales and distribution network, as well as operational scale, to amplify Fevertree’s presence. The new partnership is expected to improve the mixer maker’s cash conversion in the US, reducing working capital needs.

Some analysts, such as Fintan Ryan at Goodbody, believe relinquishing direct operational control could prove a strategic trade-off. However, Matthew Webb of Investec and Anubhav Malhotra at Panmure Liberum suggest that the deal not only unlocks fresh capital returns for Fevertree shareholders but also secures Molson Coors as a potential long-term acquirer of the brand.

Meanwhile, Fevertree reported a modest 1 per cent increase in full-year group revenues to £367.9 million and signalled a likely dip to low single-digit revenue growth in 2025 as it transitions its US operations to Molson Coors.

This tie-up follows other high-profile industry collaborations, including Carlsberg’s recent $4.2 billion purchase of Britvic, the British drinks maker behind Robinsons and J2O, as brewers and beverage groups continue to expand into alternative and soft-drinks markets.

Read more:
Fevertree taps Molson Coors with £71m stake sale to fuel US growth

0
FacebookTwitterGoogle +Pinterest
previous post
OpenAI nears record-breaking $40bn funding deal as valuation doubles
next post
Homebase owes £650m unsecured debt as administration details emerge

You may also like

Providing Business Clarity: How updated Guidance from the...

January 25, 2024

Max Verstappen Net Worth: A Look Into the...

February 10, 2025

The Importance of Getting Your Business On the...

February 7, 2024

Nearly 250,000 young people are now running businesses

January 15, 2024

EU set to relax state aid rules to...

December 5, 2022

Fears grow as Harland & Wolff nears administration,...

September 16, 2024

The Power of Embedded Finance: Enhancing Traditional Financial...

March 16, 2023

M&S under fire for ‘buy-now-pay-later’ plan as critics...

October 7, 2022

Jeremy Hunt handed £24bn spending boost before budget

February 27, 2023

British Steel set to axe 800 workers

February 2, 2023

    Get free access to all of the retirement secrets and income strategies from our experts! or Join The Exclusive Subscription Today And Get the Premium Articles Acess for Free

    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Recent Posts

    • Trump ally stands firm against ‘big, beautiful bill’ despite pressure: ‘It’ll completely backfire’

      June 8, 2025
    • Rubio condemns assassination attempt on Colombian presidential candidate Miguel Uribe

      June 8, 2025
    • Obama WH physician says Biden doc should have performed cognitive test

      June 8, 2025
    • Trump warns of ‘serious consequences’ if Elon Musk funds Democrats

      June 7, 2025
    • Musk jokes about reconsidering stance on Big Beautiful Bill after Schiff’s praise

      June 7, 2025
    • Musk deletes explosive posts about Trump and Epstein files

      June 7, 2025

    Categories

    • Business (8,152)
    • Investing (2,019)
    • Politics (15,571)
    • Stocks (3,136)
    • About us
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: futureretirementsuccess.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2025 futureretirementsuccess.com | All Rights Reserved