The Reyes Beer Division will enter Texas, its 11th market, with the acquisition of Capitol Wright Distributing LLC. Financial terms were not disclosed but the transaction is expected to close in December.
The addition of Capitol Wright will add more than 16 million cases and about 5,100 customers to Reyes’ operations. Key suppliers include Molson Coors, Constellation Brands, Boston Beer Company, Mark Anthony Brands (Mike’s, White Claw), Diageo, Heineken USA, Pabst, Gambrinus, Thirsty Planet and Saint Arnold.
Reyes will continue to operate Capitol Wright’s facility in Manor, Texas. Once the deal closes, the business will operate as Capital Reyes Distributing LLC.
Capitol Wright’s territory includes Comal, Hays, Travis, Williamson, Lee, Burleson, Grimes, Washington, Fayette, Bastrop, Caldwell, Guadalupe, Gonzales and Colorado counties.
“The industry continues to grow and change in many ways, and we are well-positioned for the dynamic environment that’s in front of us,” Reyes Beer Division CEO Tom Day said in a press release. “With Capitol Wright Distributing’s successful history of acquisitions, I am confident that the coming together of our teams will lead to even more success.”
“The great state of Texas has been on our radar for quite some time now,” Stephen Reyes, president of Reyes Beer Division East, added. “Capitol Wright was the right opportunity for us to enter our 11th market and we’re honored to continue the legacy of the great business they’ve created.”
Capitol Wright was formed in October 2014 through the combination of Austin-based Capitol Beverage, which was founded in 1976, and Bastrop-based Wright Distributing Co., which was founded in 1948. Immediately after the merger, Capitol Wright struck a deal to acquire La Grange-based Saunders Distributing, according to the company’s website. Capitol Wright expanded again in January 2015 when it acquired Keg 1 Austin.
The wholesaler operates from a 435,000 sq. ft. warehouse in Taylor, and employs about 600 people to serve its 2,061 off-premise accounts and 2,476 on-premise accounts.
Capitol Wright president Ed Butler said in the release that “when it came time to transition the business, it was none other than the Reyes family who we believed would carry on with the same passion and commitment.”
The proposed deal for Capitol Wright comes on the heels of Reyes’ deal for DET Distributing in Tennessee, which became its 10th market.
Reyes operates distributors in California, Florida, Illinois, Indiana, Maryland, Michigan, South Carolina, Tennessee, Virginia and Washington, D.C.