CONSTELLATION BUYS A BREWERY

CONTINUING WITH ITS focus on the beer category, Constellation Brands is buying a brewery for $6OO million from Grupo Modelo, a subsidiary of Anheuser-Busch InBev NV, in order to meet demand for its growing Mexican beer portfolio. The brewery, which is located in Obregon, Mexico is expected to produce 4 million hectoliters a year with minimal investment and could eventually expand to produce 2O million hectoliters. In 2O13, Constellation bought the US distribution rights for Corona and several other Mexican beers for roughly $5.3 billion from Anheuser-Busch. In its most recent quarter, Constellation shipped 13% more beer from the same period a year prior, not counting acquisitions. Much of its sales now come from beers like Corona Extra and Modelo Especial.