The beer biz never sleeps at American Craft Beer. And here’s just some of what’s been happening.
On November 7th, Finestkind Brewing, a venture capital company that now own New Hampshire’s Smuttynose Brewing, announced the purchase of Brooklyn, New York-based Five Boroughs Brewing Co.
Founded in 1994 in Portsmouth, New Hampshire, Smuttynose was the “Granite State’s” first craft brewery. Enjoying the benefits of craft beer’s boom years, the company moved into a brand-new facility on a historic 17-acre site in Towle Farm in Hampton, NH, a state-of-the-art operation that offered tours, tastings and even a nine-hole disc golf course.
But then came harder times…
After a brief four years at the new facility the company announced a bank auction of the brewery. The company which was producing 75,000 barrels of beer a year had been running at 50% at the time. Provident Bank purchased the company at auction for $8.25 million and it was quickly sold to Runnymede Investments which formed Finestkind.
Under Finestkind’s management, Smuttynose has experienced a revival. It is currently distributed in 25 states and 11 countries and this deal will give the New Hampshire brewery access to distribution in the New York market as well as an expanded presence in the tri-state area.
Five Boroughs Brewing Co. was established in 2017 and is available throughout New York, New Jersey, and Connecticut.
“We’re thrilled to partner with Smuttynose Brewing Co.,” said Blake Tomnitz, Co-Founder and CEO of Five Boroughs Brewing. “Smuttynose is a craft beer pioneer, and we share their commitment to high-quality craft beers. Under their leadership, we’re confident in the brand’s continued growth, reaching even more craft beer consumers across the tri-state area and beyond.”
The acquisition represents a new chapter for Finestkind Brewing as it explores potential expansion into new beverage categories, including the growing non-alcoholic beverage segment. Five Boroughs will join Smuttynose Brewing Co. and Island District Cocktails as one of Finestkind’s core beverage brands.
“We’ve monitored Five Boroughs from a distance for some time now,” said Steve Kierstead, CEO of Finestkind Brewing. “We admire their remarkable achievements in the competitive craft beer space. Through discussions with Blake, Kevin, and Kian, we are convinced of their integrity and passion for the brand, making this partnership fruitful.”
Financial details of the transaction, which closed on October 23rd, were not disclosed.