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Distribution merger: Charmer Sunbelt Group, Wirtz Beverage combine forces

October 22, 2015Chris Crowell

Craft beer distribution

The Charmer Sunbelt Group and Wirtz Beverage Group, two of North America’s pre-eminent family-run distributors of wine, spirits and beer, have signed an agreement to combine substantially all of their beverage alcohol operations.

The new company, Breakthru Beverage Group, will be one of the largest and most established wholesale distributors in the United States and Canada. The company will initially have operations in 16 markets, employ more than 7,000 people and represent a portfolio of premier wine, spirits and beer brands with $6 billion in annual sales.

Breakthru Beverage will be designed to lead in the evolving total beverage alcohol landscape, bringing together the strongest elements of both companies. Enhanced commercial capabilities and superior market execution will be supported by integrated insights and strong expertise to establish a unified national footprint. Innovative approaches will be the foundation for a new and different kind of company.

RELATED: Distribution advice from five top craft beer distributors

W. Rockwell Wirtz and Charles Merinoff will lead the new organization as co-chairmen of the Board. Daniel Wirtz, current president of Wirtz Beverage Group, will be vice-chairman. Greg Baird, industry veteran and current Charmer Sunbelt president, will serve as the president and CEO of the company. Arthur Wirtz, current Wirtz Beverage COO, will serve as EVP of operations and a member of the Board.

“The significance of these two great companies coming together is a testament to our shared values, approach and commitment to the future,” said Rocky Wirtz. “Charlie and his team have built an incredible company and we have a lot of similarities in our culture and growth strategy. As family-run businesses, maintaining the integrity of our relationships with our employees and partners is really important.”

As CEO and President, Baird will be responsible for the day-to-day operations of the company, and will have organizational oversight and direct management of the senior leadership team. The operating committee will oversee the integration of the businesses, manage and direct strategic planning and play a key role in leading supplier relations. The new organization will be headquartered in New York with a corporate leadership presence in Chicago.

“By working as an efficient and collaborative wholesaler across multiple markets, we can improve speed to market for our partners and better coordinate and activate brand marketing strategies. We can make investments in both our markets and our people,” noted Greg Baird. “We will create new models where it makes sense but most importantly foster an open, high-integrity culture for our associates, suppliers, and customers that drives value for all parties each and every day.”

The two companies share many of the same supplier partners, distributing similar brands across a geographically diverse footprint.

The Charmer Sunbelt Group today operates local distributor and/or brokerage houses in Arizona, Colorado, Connecticut, Delaware, Florida, Maryland, New Jersey, New York, Pennsylvania, South Carolina, Virginia, and the District of Columbia, and has interests in the Alabama and Mississippi markets. The Wirtz family has interests in Illinois, Wisconsin, Nevada, Minnesota, Missouri, Iowa, and throughout Canada.

Alliance Beverage in Arizona will continue to be a joint venture, between Breakthru and the Glazer family, and Breakthru will have interests in Alabama and Mississippi with the Glazer and Young families. The markets of Canada, Connecticut, Iowa, Missouri and New York, will not be owned by the Company. However, Charmer Sunbelt and the Wirtz family anticipate continuing their respective partnership, management and supportive relationships with these affiliated companies.

The closing, which is subject to customary conditions including shareholder and regulatory approvals, is anticipated to take place in January 2016.

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Reader Interactions

Comments

  1. KCHopTalk says

    October 24, 2015 at 3:14 pm

    Distribution merger: Charmer Sunbelt Group, Wirtz Beverage combine forces https://t.co/3EqTZPCHLJ

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  2. bolstr says

    October 23, 2015 at 5:00 pm

    Distribution merger: Charmer Sunbelt Group, Wirtz Beverage combine forces https://t.co/mxpKXeWbwE via @CraftBrewingBiz

    Log in to Reply
  3. crsimp01 says

    October 22, 2015 at 2:47 pm

    Distribution merger: Charmer Sunbelt Group, Wirtz Beverage combine forces https://t.co/tjAzyTPr5b via @craftbrewingbiz

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  4. LVRGLLC says

    October 22, 2015 at 2:18 pm

    #CraftBeer #CraftBrewing #Beer #BeerBiz Distribution merger: Charmer Sunbelt Group, Wirtz Beverage combine forces https://t.co/bbCcqQhHBW

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