Sapporo U.S.A. is to acquire Stone Brewing.

The company said that the deal will supporting both business’ long-term growth strategies in the U.S. market, with the transaction expected to close in August 2022.

Sapporo said it intends to produce its Sapporo-branded beers for U.S. distribution in Stone’s two state-of-the-art breweries, in Escondido, California and Richmond, Virginia.

Building on existing capabilities, and supported by planned capital investments, Sapporo intends to brew 360,000 barrels in the U.S. by the end of 2024. This will essentially double Stone Brewing’s current production and provide ample opportunities for growth for both brands.

“We approached Stone Brewing seeking a partner for our growth plans in the U.S, and we quickly recognized they were an ideal partner with bi-coastal brewing capacity, loyal fans, superb management, shared cultural values, and commitment to the highest quality standards,” said Kenny Sadai, Chairman, Sapporo U.S.A.

“This acquisition puts the resources and legacy of the largest Asian beer brand in America together with one of the most innovative and recognized craft beer brands in the world. It’s a perfect fusion of east meets west that is an ideal marriage for Sapporo’s long-term growth strategy in the U.S.”

Under the agreement, Stone Brewing will continue to brew its craft beers at the two breweries, as well as operate its seven Tap Rooms and World Bistro & Gardens destinations with existing branding, management and workforce under the Sapporo umbrella. Best known for its award-winning beers like Stone IPA, Stone Delicious IPA and Stone Buenaveza Salt & Lime Lager, Stone will continue to brew with the same recipes and passionate team as before.

“This is the right next chapter for Stone Brewing,” added Greg Koch, co-Founder & executive chairman of Stone Brewing. “For 26 years, our amazing team has worked tirelessly to brew beers that have set trends and redefined expectations. To have the interest of a company like Sapporo in continuing the Stone story is a testament to the great beers we’ve created and will continue to create for our fans across the globe.”

“I am thrilled that we have the opportunity to join forces with Sapporo,” concluded Maria Stipp, CEO of Stone Brewing. “This unique partnership allows us to preserve the Stone legacy that our fans know and love and will add exponential opportunities for growth, from production to more investment in people, equipment, sales, and marketing.”

Stone is the second acquisition in the growing craft brew segment of Sapporo U.S.A.’s business. Alongside Anchor Brewing Co., which was acquired in 2017, the acquisition continues the legacy of great brands coming together under the Sapporo banner. Anchor Brewing operations will remain unchanged.

Stone Distributing Co., Stone Brewing’s distribution business, is not part of the sale, and will become an independent company under current ownership, maintaining its current leadership of day-to-day operations. Stone Distributing is a leading distributor in the nation’s largest craft market and will continue to service Southern California with a portfolio of 42 distinctive craft brands, including Stone Brewing.