Carlsberg Group acquires Waterloo Brewing

Carlsberg Group has announced the acquisition of Waterloo Brewing, based in Ontario, Canada, with the transaction expected to be completed in February 2023.

Waterloo Brewing, founded in 1984 and described as “Ontario’s first craft brewer”, is known for its 4Core range, consisting of: Waterloo Dark, Amber, IPA and Craft Lager, brewed by father and son team George and Brett Croft. The brewery also produces radlers, seasonals, and its signature series.

In addition to adding these brands to the group’s portfolio, as part of this new deal, the Waterloo Brewing facility in Kitchener, Ontario will be producing some of Carlsberg Group’s brands, including Somersby cider, which has been produced at Waterloo Brewing since 2020.

Carlsberg Group CEO Cees ’t Hart said: “One of the priorities of our SAIL’27 strategy [the company’s five-year plan announced earlier this year] is to grow our business in attractive markets where we are small today, such as Canada. The acquisition of Waterloo Brewing significantly improves our growth prospects in the Canadian market.”

Waterloo Brewing president and CEO George Croft added: “We’ve enjoyed a close relationship with Carlsberg and are excited about becoming part of one of the largest brewing companies in the world. Waterloo Brewing will be a great fit with Carlsberg’s strong, purpose-driven culture, and our Board of Directors is confident that joining Carlsberg is the best long-term solution for our employees, partners, customers, consumers and community.”

The transaction, which has been approved by the boards of both companies, is subject to approval by at least two-thirds of the votes cast by all security holders and by a “majority of the minority” of the shareholders in a meeting set to take place early next year. Holders of Waterloo Brewing common shares will receive CA$4 in cash for each common share held.

On the other side of the world, Carlsberg announced a US$25 million investment in its Malaysia brewery in June.