Dogfish Head to Merge with Boston Beer

Thanks for all the notifications about Delaware-based Dogfish Head Brewery merging with the makers of Samuel Adams beer, probably sometime in June 2019.

This surprising news left me a bit shocked. Not as shocked as I was 2 days ago. While driving home on I-95, someone reared-ended my Ford Ranger. I love my little truck. Most days, it takes all my gardening tools to my vegetable plot. Also, it is perfect for hauling all our gear on our frequent camping trips including bikes on the bike rack. I’ll know in a day or 2 if the insurance adjuster decides to total my favorite mechanical buddy.

My sad Ford Ranger after the crash
My sad Ford Ranger after the crash

But back to the merger. I’m a big fan of the Boston Beer Company. Most of their ales are solid, well-made beers. Their enormous variety (over 60 beers) offers something for everyone. And don’t forget the impact owner Jim Koch has had on the craft beer world with his award-winning Boston Lager. Boston Beer Co. is now the 2nd largest independent craft brewer behind Yuengling. Below is a paragraph from an early Warrensbeeradventures blog post about Jim Koch’s startup.

Let me tell you a story of an early contract brewery. In 1984, a sixth-generation brewer started a contract brewery. He and a partner began their business with no office, no brewery, just a briefcase, and a great beer recipe. In 1985, just 6 weeks after producing their first commercial beer, Jim Koch’s beer, Samuel Adams Boston Lager was voted the best beer in American at the Great American Beer Festival. The craft beer revolution had begun. As the Encylopedia of World Biography states, “By 1994, Koch’s company was bringing in $50 million in sales, and Samuel Adams was the best–selling specialty beer in the United States.”  I want Maryland to welcome the next Jim Koch to this great state and I want to drink his or her beer.

Click on Comments for Reform on Tap Task Force to see my entire rant.

The other side of the merger is Delaware-based Dogfish Head brewing. Sam Calagione of Dogfish touts his company’s “off-centered beers”; eccentric, yet often delicious. I regularly drink SeaQuench and 60 Minute, plus I make an annual trek to either Milton or Rehobeth to get my yearly Dogfish Head fix. On the other hand, Chicha, the beer with pre-chewed corn, is much too eccentric for my taste.

The more I learn about the $300 million merger, the more it makes sense. Dogfish co-owners Sam and Mariah Calagione will receive a huge amount of Boston Beer Co. shares plus Dogfish Head shareholders will receive $173 million. The merger will also see the exit of LNK, a NY-based private-equity firm which has held 15% of Dogfish Head for the past 4 years. Sam Calagione will take a seat on the Boston Beer Co’s board in 2020. Might I speculate that Sam is the next in line to replace the nearly 70-year old Jim Koch?

I’m sure I’ll have lots of time to speculate about the impact of this merge with craft beer lovers at the Maryland Craft Beer Festival. I’ll be headed on the BAMBus from Jailbreak to Frederick on Saturday to enjoy a day of craft beer sampling.

Cheers!

Warren

5 thoughts on “Dogfish Head to Merge with Boston Beer

  1. Omg. So sorry to hear about the truck. I hope they don’t total it.

  2. Rough news about the truck. Glad you weren’t hurt.

    Eloquent reaction to the merger.

  3. Sorry about the truck… Hope they don’t total it. The merger caught me by surprise as well. On initial thought it didn’t make sense. We shall see…

Comments are closed.