Ninkasi Brewing and Legacy Breweries part ways
Ninkasi Brewing and Legacy Breweries signed a separation agreement so they can focus on each company’s strategic imperatives. This separation was effective in 2020 and will allow both companies to build on their core competencies.
In Spring of 2019 the Eugene, OR based Ninkasi Brewing sold a majority stake to a new venture called Legacy Breweries in a partnership that would add more breweries into a network of like-minded operations that could pool resources and equity. Part of that agreement was for Legacy Breweries to purchase the property that Ninkasi had expanded upon and the brewery would lease it back from them. At the time Ninkasi was over leveraged, and had doubled down on a huge expansion before sales took a huge tumble with rising competition. The partnership with Legacy was likely essential to the brewery staying alive. Read our 2019 interview with Ninkasi co-founder and then CEO Nikos Ridge on the acquisition. A few months later Legacy Breweries added Laurelwood Brewing to the mix with Ninkasi operating as a contract brewer for the formers packaged beer production.
Ninkasi Brewing was one of the few Oregon breweries to seemingly come out ahead in 2020 despite the pandemic, sales production numbers surged but it’s unclear if that was based on contract brewing for other brands such as Laurelwood. But despite all the factors the relationship evidently worked out well in creating raw materials and supply chain improvements, as well as development of a premier Trade Development team and secure long-term major production contract to fill capacity. What all that means in reality is also a bit muddled, but we hope to learn more about what this means for Ninkasi in the near future…
Ninkasi current CEO, Nigel Francisco said, "It’s been a complicated year due to Covid-19 and we are very proud of the position Ninkasi has attained within the Northwest craft beer market. This separation agreement will allow Ninkasi to continue to invest in its brand, people and position here in the Northwest" Legacy Breweries CEO, Don Bryant a long-time industry insider shared "Ninkasi is positioned for significant success going forward, but this separation agreement will allow Legacy to focus on its other assets as well as drive further investment and resources against a major national initiative we will be launching in the next few months. The time spent working with Ninkasi has led to tremendous improvements within both Ninkasi and Legacy and positioned both companies for success in 2021 and beyond."
Ninkasi Brewing founders Nikos Ridge and Jamie Floyd
Ninkasi founders, Jaime Floyd and Nikos Ridge have resumed control of Ninkasi in conjunction with CEO Nigel Francisco.