Anheuser-Busch InBev (A-B) has reached agreements to sell wholly owned distributor branches in Massachusetts and Ohio to independent A-B distributors in each state, the company announced today.
Martignetti-owned Quality Beverage will acquire the Boston, Massachusetts-based branch, and Columbus Distributing will acquire the Canton, Ohio-based branch, according to a press release.
“Anheuser-Busch’s owned distribution operations are a strategic part of our business as they
enable us to test and learn, develop our people, and ultimately serve as stronger partners to our
independent wholesaler partners,” A-B U.S. chief sales officer Simon Wuestenberg said in the release. “We continuously assess our operational footprint to ensure our entire system is set up for long-term success, and the transition of these operations will ensure that Anheuser-Busch and its network of independent distributors will continue to drive the growth of our iconic
portfolio of brands while providing world-class service to our retail customers across Ohio and
Massachusetts.”
A-B has engaged in a series of deals involving its wholly owned distribution branches in recent years, beginning with a flurry of activity in 2020. That year, it sold its Oakland, California, distribution facility to a commercial real estate developer in May, swapped territories with Heimark Distributing in Southern California in July, and sold its wholly owned Colorado branch to Norcross, Georgia-based Eagle Rock Distributing in September.
Although most of the 2020 activity involved spinning off distributors, A-B also acquired Los Angeles-based Ace Beverage that fall.
The sales continued two years later, when A-B sold its Northern California operations to two independent wholesalers in its network, Markstein Sales Company and Matagrano, Inc. in July 2022. Two months later, A-B sold its Lima, Ohio operation to Ohio Eagle Distributing.
Taunton, Massachusetts-headquartered Quality Beverage itself was acquired by wine and spirits distributor Martignetti Companies in a deal that closed in early 2024 after the settlement of a lawsuit between Quality and Constellation Brands, which did not want its brands to remain with Quality after the sale.
“We are pleased to expand our relationship with Anheuser-Busch into the greater
Boston area and to represent its industry-leading brands in the marketplace,” Carl and Carmine Martignetti said in the release. “We are proud to be a part of Anheuser-Busch’s best-in-class nationwide distribution network, and we appreciate the confidence Anheuser-Busch is demonstrating in us through this expanded partnership.”
Columbus distributes in Franklin, Marion, Morrow, Union and Delaware counties, according to its website. The addition of A-B’s Canton operations would extend its territory to the northeast.
“Columbus Distributing and my family have been partners of Anheuser-Busch for over 80 years and during that time we have been committed to serving our customers and delivering some of the world’s most iconic brands to our consumers, while always making a positive impact in the communities where we live and work,” Columbus president Erik Jenkins said in the release. “We are excited to deepen our partnership with A-B, expand our operations in Ohio, and build a stronger future in more communities across our great state.”
As of January 2022, A-B’s wholly owned network sold about 7% of its volume, under its 10% cap, A-B U.S. CEO Brendan Whitworth shared during Beer Business Daily’s Beer Industry Summit. A-B’s own network accounted for as much as 9% of its volume in 2016, according to a letter the National Beer Wholesalers Association (NBWA) sent the Department of Justice (DOJ) to comment on the proposed A-B/SABMiller merger. At the time the NBWA called into question the veracity of A-B’s self-reported volume flowing through its own network.