Athletic Brewing Company, a leading nonalcoholic brewer, recently announced that it has secured an additional $50 million in equity financing in a funding round led by General Atlantic. This investment is expected to help the company expand its production capacity and increase its offerings at global retailers to meet the growing demand for nonalcoholic beer. Despite only offering nonalcoholic options, Athletic Brewing has managed to become the 10th largest U.S. craft brewery and the 20th largest overall U.S. brewing company, according to rankings by the Brewers Association.
Athletic Brewing currently holds over 19% market share within the nonalcoholic beer category and is responsible for driving 32% of the total nonalcoholic beer category growth, as reported by NielsenIQ data. The company’s revenue has more than doubled since its last funding round about 18 months ago, with its valuation also doubling to $800 million after the latest fundraising. With two brewing facilities in the U.S. and a third facility on the way in San Diego, Athletic Brewing expects to double its U.S. brewing capacity once the new facility becomes operational.
The success of Athletic Brewing can be attributed to the growing health and wellness trends that are influencing consumer behavior, with more than 40% of Americans actively trying to drink less alcohol according to recent data by NCSolutions. This percentage increases to 49% for millennials and 61% for Generation Z, indicating a strong shift towards healthier beverage choices. Established beer companies like Heineken, Corona, Budweiser, and Guinness have also recognized this trend and introduced their own nonalcoholic beer offerings to cater to changing consumer preferences.
Athletic Brewing’s CEO and founder, Bill Shufelt, expressed excitement about the company’s future growth potential and the continued support from General Atlantic. As the company continues to innovate and expand its reach in the nonalcoholic beer market, it aims to provide consumers with high-quality nonalcoholic options that align with their health and wellness goals. With a focus on sustainability, innovation, and consumer satisfaction, Athletic Brewing is well-positioned to capitalize on the evolving consumer preferences in the beverage industry.
Athletic Brewing Company’s recent success in the nonalcoholic beer market highlights the significant shift towards healthier beverage choices among consumers. With a strong focus on quality, innovation, and sustainability, the company has managed to carve out a unique position in the market and attract a growing number of loyal customers. As the demand for nonalcoholic beverages continues to rise, Athletic Brewing’s commitment to providing consumers with flavorful and satisfying nonalcoholic beer options sets it apart as a leader in the industry.
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