Athletic Brewing just received a major investing boost from Keurig Dr Pepper (KDP). The conglomerate announced on Wednesday that it is investing $50 million in the non-alcoholic brewery, solidifying a minority equity stake in the brand.
As part of the investment agreement, KDP will hold a seat on the company’s board of directors, according to a Nov. 9 press release. Other specific details on the investment weren’t included in initial reports from KDP.
This latest funding is part of a $75 million Series D investment round from more than 25 current Athletic investors, which includes celebrities such as Karlie Kloss and Naomi Osaka, according to Brewbound.
“Athletic Brewing is a winning brand in a rapidly growing beverage segment. Our investment reflects our interest and ability to move into exciting white spaces, including in the blurring of the alcoholic and non-alcoholic categories,” Keurig Dr Pepper executive chairman Bob Gamgort states in the press release. “We look forward to partnering with the Athletic Brewing team to help them scale the business.”
This is the second recent indication of KDP’s interest in the non-alcoholic beverage space, as it also acquired zero ABV ready-to-drink cocktail brand Atypique in June.
Athletic Brewing, founded in 2017 by Bill Shufelt and John Walker, has already demonstrated quick growth as a category leader. The company recorded $37 million in sales last year, with $75 million raised in investments as of September 2022.
“We’re thrilled to welcome Keurig Dr Pepper as an investor and strategic partner,” Shufelt says. “Their team brings a tremendous amount of expertise and truly embraces our mission of brewing great-tasting non-alcoholic beers that are fit for all times. This investment will enable Athletic Brewing to further accelerate our growth across North America.”