E-Malt.com News article: USA, CO: Durango Brewing sold a majority interest in January to increase operations in Denver

Durango Brewing Co. has sold a majority interest to a private Denver investor with hopes of expanding production and markets. The current facility is producing at maximum capacity.

Andrea Allison, spokeswoman for Durango Brewing, said the sale took place in January, though expansion plans still have not yet been finalized. She did not disclose the name of the private investor, or how much the sale was for, The Durango Herald reported on July 7.

“Durango Brewing Co. has been a staple in the Durango community as well as the Colorado craft beer community for 25 years, and we are excited about what our growth means for the local community as far as an increase in jobs, driving in more tourism and being able to interact and give back to our community more,” Allison said.

“Day-to-day business operations have continued much the same at the brewery, with all of the beer still made at the 3000 Main Avenue location in Durango. There are no plans to change the company’s name,” Allison said.

New ownership has not yet established a timeline for expansion plans, and Allison did not elaborate on what those specific plans might look like. She said the decision to sell the brewery’s majority interest revolved around a desire to increase operations.

“The current facility is brewing at maximum capacity, and we need more space to brew more beer,” Allison said. “With the expansion down the road, it will allow Durango Brewing Co. to strengthen Colorado distribution as well as look at expanding into other markets.”

Over the next year, changes might include a new logo, labels and an updated taproom and brewery, along with new equipment.

John Carlson, executive director of the Colorado Brewers Guild, said expansions like Durango Brewing’s are not uncommon in the Colorado craft beer industry, where the state’s estimated 300 licensed breweries have seen double-digit growth.

Some breweries, however, have been implementing plans to resist selling ownership to outside interests.

“There is capital that’s looking for opportunities to acquire some of these firms, and depending on the culture of the company, they have different outlooks on that,” Carlson said. “We’re certainly on a growth platform for an operator who is in an attractive local market.”

Allison said Durango Brewing might explore similar employee stock options in the years ahead, depending on how the expansion goes.


08 July, 2015