Athletic Brewing Company, a leading nonalcoholic brewer, has recently announced the successful completion of an equity financing round led by General Atlantic, raising an additional $50 million. This investment is expected to propel the company’s growth and expand its reach in response to the increasing demand for nonalcoholic beer among consumers.
Athletic Brewing Company plans to utilize the latest investment to boost production capacity and diversify its product offerings in order to cater to the growing interest in nonalcoholic beverages. By partnering with General Atlantic, the company aims to solidify its position in the market and capitalize on the rising trend of health and wellness among modern adults.
Since its inception in 2018, Athletic Brewing has rapidly expanded to become the 10th largest U.S. craft brewery and the 20th largest overall U.S. brewing company. Despite exclusively offering nonalcoholic options, Athletic Brewing holds a significant market share within the nonalcoholic beer segment and is driving a substantial portion of the category’s growth. With revenue more than doubling in the past 18 months, the company’s valuation has also soared to $800 million.
The success of Athletic Brewing Company can be attributed to the growing health and wellness trends that are influencing consumer preferences for nonalcoholic beverages. More than 40% of Americans are actively seeking to reduce alcohol consumption, a trend that is even more pronounced among millennials and Generation Z. Established beer companies like Heineken, Corona, Budweiser, and Guinness have also recognized this shift in consumer behavior and have introduced their own nonalcoholic beer offerings to meet the demand.
Athletic Brewing currently operates two brewing facilities in the U.S. and has recently acquired a third facility in San Diego to further increase production capacity. The company anticipates that this new facility will help double its brewing capacity in the United States, allowing it to meet the growing demand for its products. With over 3 million cases sold and $90 million in revenue generated last year, Athletic Brewing is poised for continued growth and success in the nonalcoholic beer market.
Athletic Brewing Company’s recent funding round led by General Atlantic underscores the strong market demand for nonalcoholic beverages and the company’s strategic position within the industry. By leveraging consumer preferences for health-conscious alternatives and tapping into the growing trend of reducing alcohol consumption, Athletic Brewing is well-positioned for sustained growth and success in the years to come. As the landscape of the beverage industry continues to evolve, companies like Athletic Brewing are paving the way for a new era of nonalcoholic beer options for consumers worldwide.