Samuel Adams Announces Merger with Green Thumb Industries

One of the largest craft beer producers in the United States, the Samuel Adams brand, recently announced to the press its merger with Green Thumb Industries, a company specializing in the production of recreational and therapeutic cannabis.

This merger is notable because, until now, alcohol brands have generally avoided forming such close partnerships with cannabis companies. Typically, alcohol producers have limited their involvement to purchasing shares in cannabis brands or managing them through subsidiary but independent firms. In this case, however, the beer company will fully absorb all assets of the cannabis firm, which will undoubtedly have legal implications for the new, unified brand.

According to the heads of both companies, the decision to fully merge was made relatively recently, in light of news about a possible upcoming change in the federal status of cannabis. Since these reforms are expected to lift most existing restrictions on cannabis brands regarding product sales, interstate commerce, and access to public and private financial services, the new partnership is expected to be profitable for both sides of the new company.

Samuel Adams will gain access to Green Thumb’s production technologies, which will likely allow it to produce new types of cannabinoid-infused beer. Meanwhile, Green Thumb will be able to continue distributing its cannabinoid extracts through the established national sales network of the beer brand.

It is possible that many other companies operating in the alcohol and cannabis markets will follow this example, especially since alcohol producers have long shown interest in the potential of the legal cannabis market. Given the decline in popularity of alcoholic beverages among all age groups of Americans over the past five years, the prospect of entering a new market offers alcohol brands the best and most effective way to maintain their profits without radically changing the company’s focus.