Heineken & Molson Coors Brewing Company jointly announced they have signed a 10-year import agreement whereby Molson Coors will import, market and distribute the Sol brand in the United States through its US division, MillerCoors, beginning this Fall. Sol will continue to be brewed in Mexico.
The agreement offers both brewers an opportunity to focus on key areas of growth within each of their portfolios, while increasing attention and investment toward market opportunities within North America.
For MillerCoors, the agreement helps balance their portfolio with an authentic Mexican beer. Combining Sol’s existing brand equity with MillerCoors’ sales, marketing, and distribution capability and established nationwide distribution network results in significant development opportunities for both the short and long-term. For HEINEKEN USA, the agreement allows for greater focus and additional investments with their current Mexican portfolio, led by Tecate & Dos Equis—two of the most popular and fastest growing Mexican beers in North America.
Marc Busain, President of HEINEKEN Americas added: “As far as Mexican beers go, HEINEKEN USA is fantastically positioned with two strong brands in Dos Equis and Tecate. This effort helps focus our current portfolio, while accelerating Sol in the short and long-term.”
Commenting on the agreement, Mark Hunter, President and CEO of Molson Coors said: “Given the steady growth of the Mexican import segment in the US over the past few years, the addition of Sol represents a key addition to our portfolio. We are excited to be offering consumers even greater choice with the addition of Sol, and are confident we can grow the beer based on the brand’s strong equity and the added reach of MillerCoors’ national distribution network. This agreement clearly demonstrates the added speed and flexibility that comes with being the single owner of the US business, which allows us to quickly capitalize on strategic opportunities like this.”
Sol is an authentically brewed Mexican beer established in 1899, and has been part of the HEINEKEN USA portfolio since 2004. Sol officially entered the global HEINEKEN portfolio following the company’s acquisition of the Cuauhtémoc Moctezuma Brewery in 2010.
Upon completion of the 10-year term, HEINEKEN will have the opportunity to reacquire the import rights & responsibilities for Sol.
Financial terms are not disclosed.