Chemmie, wtf was Redner thinking?
- Thread starter cnsaguy
- Start date
The Denver Post estimates the current deal at $60M. I'd bet InBev was offering a lot more than that.
I'd listen to for that type of $$$.
I'd listen to for that type of $$$.
Now he has a huge chunk of cash, ownership stake in the parent company, breweries in Michigan, Utah, Colorado, North Carolina, and Florida, to brew his products, and he sold to a smaller conglomerate that doesn't have a reputation of battling to keep small brewers down.
Pretty solid move.
Pretty solid move.
Daddy didn't want out.
Daddy is making more money on beer than he ever had made on nude women.
This say otherwise, but not directly.
http://www.brewbound.com/news/fireman-capital-to-purchase-cigar-city
"According to Redner, Cigar City was in serious discussions with A-B InBev and had even signed a letter of intent with them in late 2015. In doing so, the smaller brewery had also agreed to an “exclusivity” clause that prohibited it from negotiating with other potential buyers, Redner told Brewbound.
In other words, if A-B wanted to make a formal offer for Redner’s business, it could have done so without the fear of being outbid.
But a potential deal fell through after A-B neglected to send a formal purchase agreement before the exclusivity period expired, Redner claims, enabling Cigar City to entertain other offers."
"A sale to Fireman Capital gives Redner’s father and business partner, Joe Redner, liquidity for his 44 percent stake in Cigar City. It also allows Joey Redner to “take some chips off the table,” and become an equity partner in United Craft Brews."
That tells me Joe wanted out. Why else almost sell to AB InBev? He wouldn't have gotten anywhere near as good a deal long-term.
