Constellation buys stake in cocktail company

Constellation has acquired a minority stake in a Chicago-based cocktail company, the first project of its newly established investment arm Constellation Ventures.

Crafthouse Cocktails, which produces ready-to-drink, spirits-based cocktails, will continue to operate independently as part of the agreement.

The investment is the first project for Constellation Ventures, which is focused on identifying smaller-scale investment opportunities and emerging categories within the drinks industry.

“We are moving forward in a competitive and ever-changing industry by identifying opportunities for innovation, both inside and outside the company, as part of our total growth strategy,” said Bill Newlands, executive vice president and chief growth officer, Constellation Brands.

“Constellation Ventures connects us with entrepreneurial brands and technologies, and allows us to support consumer-proven products early in their lifecycle. We are excited to work with the forward-thinking team at Crafthouse as they continue to grow their brand and create new opportunities for consumers to enjoy a premium cocktail experience.”

Crafthouse Cocktails was founded in 2013 and produces pre-mixed, premium bottled cocktails. Its range currently includes a Moscow Mule, Paloma and Southside, available in Illinois, Ohio, Michigan and Colorado.

“We know there is exciting innovation happening in smaller, high-growth companies on the leading edge of new consumer trends”, said Rob Sands, president and chief executive officer of Constellation Brands. “We want to support these promising entrepreneurs, like Crafthouse Cocktails, while gaining a deeper knowledge of emerging opportunities and fueling total alcohol beverage category growth.”

Specific terms of the acquisition were not disclosed.