Anheuser-Busch investing $1B to modernize US facilities

Nearly half that amount will go to the company’s 12 major U.S. breweries

Anheuser-Busch said Wednesday it’s investing $1 billion over the next two years to modernize its U.S. facilities.

GET FOX BUSINESS ON THE GO BY CLICKING HERE

Nearly half that amount will go to the company’s 12 major U.S. breweries, including its 169-year-old flagship brewery in St. Louis. Anheuser-Busch said it will spend $100 million for new can lines and $100 million on solar panel installation and other sustainability measures.

Anheuser-Busch, a subsidiary of Belgium-based AB InBev, said the investment will be spread across facilities in 26 states. The company has more than 120 facilities and 19,000 employees in the U.S.

Ticker Security Last Change Change %
BUD ANHEUSER-BUSCH INBEV 68.14 +0.41 +0.61%

Anheuser-Busch said it also plans to spend $50 million to increase its seltzer brewing capabilities. U.S. sales of hard seltzers like White Claw and Bon Viv — which is made by Anheuser-Busch — have grown rapidly in recent years even as beer sales have declined.

Consumption of ready-to-drink beverages — a category that includes canned cocktails and hard seltzers — rose an estimated 43% in 2020, according to a study of 19 countries by IWSR Drinks Market Analysis, a London consulting firm. Beer and wine consumption both fell 9%.

Anheuser-Busch’s Super Bowl ads will reflect that trend this year, with spots for Bud Light Seltzer Lemonade and Michelob Ultra Organic Seltzer in the lineup.

CLICK HERE TO READ MORE ON FOX BUSINESS

Anheuser-Busch isn’t the only big company shifting to meet demand for seltzer. Coca-Cola Co. — which sells only a handful of alcoholic beverages around the world — will soon launch Topo Chico Hard Seltzer in the U.S.