Dive Brief:
- Anheuser-Busch InBev is paying up to $490 million for a majority stake in BeatBox Beverages in a deal that puts the Bud Light brewer on path to full ownership of the party punch maker popular with Generation Z.
- The alcohol giant is acquiring 85% of BeatBox with the transaction set to close in the first quarter of 2026, according to the release. AB InBev said the deal includes a path to 100% ownership after five years based on a predetermined pricing formula.
- BeatBox adds to Anheuser-Busch's fast-growing portfolio of beverages beyond beer, which also includes Cutwater Spirits, Nütrl Vodka Seltzer and Phorm Energy.
Dive Insight:
BeatBox has rapidly grown during the past two years due to its high alcohol content, bright packaging and bold, fruit-forward flavors.
Revenue is projected at $225 million in 2025, according to its LinkedIn page. In the next few years, it plans to reach 10 million new households and launch "an entirely new brand."
“We could not be more excited to welcome BeatBox, one of the fastest-growing RTD brands in the industry, to our portfolio," Brendan Whitworth, CEO of Anheuser-Busch, said in a statement. "We have a proven playbook for building winning brands, and I look forward to partnering with BeatBox and embarking on their next chapter of dynamic growth together.”
BeatBox is sold in a variety of flavors, including blueberry lemonade, orange blast, cherry limeade and cranberry dreams. They are available as wine-based and malt-based versions, with alcohol by volume rates of either 11.1% or 8%.
The brand first came into the spotlight in 2014 when it was featured on reality TV series “Shark Tank.” It counts Mark Cuban and Shaquille O’Neal as investors.
The party punch has over $340 million in U.S. retail sales for the year ending Nov. 23, according to Circana data cited by Anheuser-Busch, representing a growth rate of more than 50% year-over-year.
Although more consumers are cutting back on alcohol consumption, there remains a pocket of strong demand for drinks with higher ABVs. In the U.S., the proportion of new launches above 5% ABV rose from 48% to 55% between 2021 and 2024, according to IWSR.
Anheuser-Busch has seen success from Michelob Ultra, which recently reclaimed its post as the top-selling beer in the U.S. However, it hasn’t been immune to the broader trend of consumers cutting back on alcohol, with beer in particular on decline.
Similar to other beer giants, Anheuser-Busch has diversified its portfolio with RTDs and nonalcoholic drinks that speak to moderation-minded consumers. It owns ready-to-drink vodka tea brand Skimmers, Nütrl Vodka Seltzer and it recently co-launched Phorm Energy drink.
