• by Steve Ellwanger , November 7, 2022

CPG marketer Tilray Brands Inc. is expanding its craft beer presence to the Northeast with the acquisition of Long Island-based Montauk Brewing Co.

As part of Tilray’s alcohol portfolio, Montauk joins SweetWater Brewing Company—which has distribution in more than 40 states—and the Southern California beer brands Alpine and Green Flash.

Tilray also owns Breckenridge Distillery, which markets bourbon and other spirits.

The acquisition of Montauk is the latest step by Tilray in preparation for the legalization of marijuana in the United States. T

Gaining Montauk’s distribution network “is part of Tilray’s strategy to leverage our growing portfolio of U.S. CPG brands and ultimately to launch THC-based product adjacencies upon federal legalization in the U.S.,” Tilray said in announcing the acquisition.

Tilray is listed on the Nasdaq stock exchange, which prohibits companies from selling marijuana until its federal status changes.

In Canada, Tilray is the leading marijuana producer following last year’s merger with Aphria Inc.

Tilray appointed veteran beer and beverage industry executive Ty Gilmore as president of its U.S. beer business, a newly created position.

According to Tilray, Montauk’s premium-priced beers are available in more than 6,400 retail doors, including Target, Walmart and Whole Foods.

Last year, Tilray entered a deal with medical and recreational marijuana retailer MedMen Enterprises Inc. under which Tilray would take a 21% ownership interest in MedMen if marijuana becomes federally legal.

Tilray also owns Manitoba Harvest, whose hemp-based foods are sold in some 17,000 North American supermarkets.