Good Drinks Australia has entered into an exclusive agreement to distribute Molson Coors brands in Australia, while Coopers Brewery will handle production of certain Molson brands.
The new partnership will see Good Drinks Australia (GDA) nationally distribute many of Molson Coors’ most prominent products, including Miller Chill, Miller Genuine Draft, Coors and the Molson Canadian brands.
In a separate ‘long term’ agreement, Coopers Brewery have been tapped to manufacture Molson Coors products at their South Australian Brewery.
Molson Coors brands represent approximately 15m litres per year, and in an ASX announcement GDA stated that it expects the partnership to deliver ‘an additional $35m-$40m in revenue, and $3m-$4m EBITDA annually’. The announcement followed a trading halt of GDA on the ASX.
GDA Managing Director, John Hoedemaker, described the deal as “a game-changer for our business”.
“The decision by Molson Coors to partner with Good Drinks Australia is a further vote in confidence in our national sales and marketing team and our capabilities to grow brands in the Australian beer market,” Hoedemaker commented.
“Molson Coors has a strong and vibrant brand portfolio with a significant following in Australia, a deep history in the USA and is a truly global business.”
Shaun Morton, Molson Coors’ APAC Regional Director, outlined Australia as a “priority market for Molson Coors,” and expressed his delight at securing the partnership.
“I am really pleased that we have secured a long-term distribution agreement with Good Drinks.”
“We have managed to find a trusted business partner in GDA that will help us deliver on our growth ambitions on the Australian Market,” Morton continued.
“GDA’s local market expertise and nationwide distribution coverage provide an excellent platform from which to develop our portfolio. We are looking forward to a long and successful partnership with Good Drinks.”
Molson Coors have been looking for a new distributor in Australia since Coca Cola EuroPacific Partners announced it would be exiting the Australian beer industry last year (a decision it has slightly reversed, keeping WA beer brand Feral).
Coopers to produce Molson Coors beer under contract
Meanwhile, one of Australia’s largest independent brewers, Coopers Brewery, has signed a ‘long-term’ manufacturing agreement with Molson Coors.
Commenting on the agreement, Coopers Managing Director, Dr Tim Cooper, highlighted his personal connection to the brand.
“I have come to know Peter Coors and his sons personally over many years and have a deep respect for Molson Coors, its history and its craft.”
The agreement comes after in Coopers recently celebrated its 160th anniversary, with Dr Cooper saying: “We are excited to be entering this partnership with Molson Coors during this milestone year for our brewery.”
Some Molson Coors brands will remain import-only.