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Is Latitude acquiring Thorn another sign of craft consolidation?

US-based Latitude Brewing, the parent company of Latitude 33, has acquired Thorn Brewing in a move symbolising the craft beer takeover trend.

The deal, which will see Thorn Brewing and its locations in North Park and Barrio Logan fall under the new ownership of Latitude, is set to strengthen both Thorn’s and Latitude 33’s market presence across San Diego.

According to local reports from SanDiegoVille, the acquisition has been a “strategic move to expand its reach into central and southern San Diego”.

At present, Thorn Brewing will continue to focus on its taprooms and operate from its existing locations under the Thorn brand, but will soon begin benefiting from Latitude’s distribution network.

While specific terms of the deal have not been disclosed, both companies have hinted that they are “optimistic” about the next stages of the takeover and Latitude has revealed that it has plans to invest in Thorn’s production and further expand product lines and give the brand more presence. Meanwhile, Thorn’s production facility and taprooms will remain under ownership of its previous parent company TSB2 LLC and continue operating under a brand licensing agreement until further notice.

Latitude 33, which was founded in Vista in March 2012 by Kevin Buckley, who formerly worked with Alpine Beer Co. and Back Street Brewery, is well known for its Blood Orange IPA. In 2014 the business was taken then over by entrepreneur Mike Ingram and by the end of 2019 the sale of Latitude 33 Brewing’s Vista brewery to Local Roots Kombucha was broken with Latitude 33 then entering into an alliance with Green Flash Brewing and Alpine Brewing to contract brew at the Green Flash Miramar site.

In a similarly-timed tale, Thorn Brewing was also launched in 2012 as Thorn Street Brewery and co-founded by Dennis O’Connor, Dan Carrico and Eric O’Connor. By 2017, the business opened a 2,100 square foot brewhouse in the Barrio Logan neighbourhood alongside its own spirits brand, Rebru Spirits as well as a host of street food vendors. With the expansion and change of location, the brewery’s name changed to Thorn Brewing which coincided with it launching a tasting room in Mission Hills.

Rumours have reportedly circulated over changes being made at the top of Thorn Brewing ownership with at least one of the business’s founding members stepping away. Queries are still being left over whether Thorn Brewing’s Rebru Spirits brand will be no more following the sale to Latitude.

The acquisition has been viewed by those closer to the scene as a growing trend within craft beer which is witnessing a growing trend of consolidation as craft breweries seek to reduce costs and scale operations to compete with big beer.

Last year, db looked into whether craft breweries temporarily merging could become the answer to them surviving the next few years of challenges and rising costs, effectively creating supergroups of craft rather than sell out to big beer.

Following the lead from other US breweries Bear Republic and Drake’s Brewing’s “new collaborative partnership”, other brewers that are looking for new ways to exist during tougher times, can choose to reach out for likeminded breweries also looking to continue their brands but without the pressure of location costs.

Thorn Brewing’s leadership team echoed this sentiment and said that it believes the new deal will allow the business to continue and it hopes to maintain the quality and uniqueness of its beer while still broadening its reach.

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