Athletic Brewing Company made headlines with the recent announcement of raising an additional $50 million in equity financing. The round was led by General Atlantic, a significant player in the investment world. The company’s CEO, Bill Shufelt, stated that General Atlantic is expected to make even larger investments in the future. This latest funding is aimed at enhancing production capacity and expanding the company’s product offerings to cater to the increasing demand for nonalcoholic beer.
Athletic Brewing Company entered the nonalcoholic craft brewing scene in 2018 and has rapidly climbed the ranks to become the 10th largest U.S. craft brewery and the 20th largest overall U.S. brewing company. Despite exclusively offering nonalcoholic options, the company holds an impressive 19% market share within the nonalcoholic beer sector. Additionally, Athletic Brewing is responsible for driving 32% of the total growth in the nonalcoholic beer category, according to data from NielsenIQ.
The CEO of Athletic Brewing, Bill Shufelt, reported that the company’s revenue has more than doubled since its previous funding round approximately 18 months ago. Furthermore, The Wall Street Journal revealed that the company’s valuation has doubled following the recent fundraising, reaching a total of $800 million. With two operational brewing facilities in the U.S. and the acquisition of a third facility in San Diego, the company is well-positioned to double its brewing capacity in the near future.
The success of Athletic Brewing can be attributed to the increasing focus on health and wellness trends, driving consumer interest in nonalcoholic beverages. Recent data by NCSolutions indicates that over 40% of Americans are actively trying to reduce their alcohol consumption. This figure rises to 49% for millennials and 61% for Generation Z. Recognizing this shifting consumer behavior, established beer companies like Heineken, Corona, Budweiser, and Guinness have also introduced their own nonalcoholic beer options to meet changing preferences.
With a strong emphasis on providing consumers with beer they can enjoy guilt-free daily, Athletic Brewing Company is poised for further growth and success. The company’s commitment to innovation and meeting consumer demands aligns well with the evolving beverage market. By partnering with General Atlantic and investing in expanding production capabilities, Athletic Brewing is well-positioned to lead the nonalcoholic beer segment into the future.