Cape May Brewing Company Announces Strategic Divestiture of Distribution Rights

On Sep 22, 2023

Cape May Brewing Company announced its strategic decision to divest its distribution rights and cease self-distribution of its products through Cape Beverage Distributing.

“At the heart of this decision is our renewed appreciation for our entrepreneurial roots and what has driven our success from day one,” said Ryan Krill, founder, Cape May Brewing Company. “We know what we do exceptionally well. We create delicious and innovative craft brews and spirits that have made fans happy for years, leaving them in anticipation of what’s next from us. That’s why we want to funnel all of our time, energy, and resources into delighting them with our products.”

Frank Stempin, president, Cape May Brewing Company, added, “This transaction will allow us to do that next level – reinvesting into Cape May Brewing in a variety of ways such as expanded production, state-of-the-art brewing equipment, and growth of footprint.”

Effective September 25, distribution of Cape May Brewing products will be managed by four family-owned, industry-leading distributors: Kramer Beverage Company of Hammonton, Peerless Beverage Company of Union, Shore Point Distributing Company of Freehold, and Kohler Distributing Company of Hawthorne. Financial terms were not disclosed.

“In finding the right partners to take the distribution reins from us, we followed our own advice and sought out companies who know what they do better than anyone,” continued Stempin. “We chose four companies who demonstrate what’s possible when you focus on one thing and execute with excellence. Kramer, Kohler, Peerless, and Shore Point are all family-owned companies who have amassed formidable distribution expertise over the generations. Their deep understanding of the landscape will enable them to seamlessly continue to serve our valued customers with the same dedication and efficiency they have come to expect from Cape Beverage over the years.”

With the largest territory coverage in the state of New Jersey, Kramer Beverage Company will distribute a majority of Cape May Brewing inventory.

Cape May Brewing Company will actively support former employees of Cape Beverage Distributing, offering job placement assistance, severance, and continuation of benefits packages to aid in this transition.

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