Carolina Beer and Beverage

A leading independent contract packager (“co-packer”) serving the high-growth energy drink category and other attractive segments of the functional beverage market.

Engagement Goals

Brookwood Associates advised the shareholders of CBB on its a sale to SunTx Capital Partners, a Dallas-based private equity firm, and Management.

Engagement Outcome

The Situation – Founded as a craft brewery in Mooresville, NC less than a decade ago, CBB developed into a world-class co-packing producer for numerous national and international beverage brands.  After the significant growth in the business, the shareholders desired a liquidity event, a new partner to lead the next phase of growth, and an opportunity for the Company’s management team to investment in the business.

Brookwood Process – After generating significant interest in CBB during a marketing process in 2008, Brookwood advised the shareholders to put the process on hold during the fourth quarter of that year while they landed a new, significant customer that offered strong growth potential.  After successfully landing that customer, CBB continued to grow at double digit rates through the recession.  Brookwood re-launched the marketing process in late 2009 and delivered a valuation substantially greater than in the previous process.

Excellent Result – The transaction exceeded valuation expectations and met the owners’ desire for a new partner who could accelerate growth and retain current management.