Montauk Brewing Company Sold to 'Marijuana Lifestyle' Company

The Montauk Brewing Company has been purchased by Tilray, an international “marijuana lifestyle” company that is gradually expanding its holdings in alcoholic beverages, particularly craft beer makers.

Tilray, a publicly traded company once hyped as an up-and-coming powerhouse in the emerging marijuana market, announced the purchase on Monday, saying that Montauk is the “No. 1 craft brewer in Metro New York” and the “fastest-growing craft beer brand” and touting it as an important cog that will help drive the company’s expanding catalog.

“Tilray Brands intends to leverage SweetWater’s existing nationwide infrastructure and Montauk Brewing’s northeast influence to significantly expand our distribution network and drive profitable growth in our beverage-alcohol segment,” the company’s CEO Irwin Simon said of the company’s plans to tap into an eventual federal legalization of cannabis products to expand its offerings. “This 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 already owns SweetWater Brewing Company, the Georgia based brewery that was founded in 1997 and is now the 10th-largest craft brewer in the country, according to the company. The company’s most recognizable product is its 420 Extra Pale Ale — which carries with it a wink-and-a-nod to marijuana fans.

Montauk Brewing was started in 2012 by East Hampton natives Eric Moss, Vaughn Cutillo and Joe Sullivan, and is still run by Moss and Cutillo. The brand and its motto, “Come As You Are” have ridden the wave of surfer-chic popularity that has enveloped Montauk over the last decade, and is now sold at more than 6,400 locations including in national retailers like Target, Whole Foods, Trader Joe’s, Walmart, Costco and 7-Eleven, Tilray said in its announcement.

“We’ve been punching way above our weight class for some time now,” Cutillo said this week. “We have 10 employees — we’re a small but mighty team. But our brand has resonated, the beer is approachable, easy drinking and flavorful and we’ve been lucky with the timing, no question — Montauk is on the map now.”

The Montauk “Wave Chaser IPA” is the number one selling IPA beer in the New York Metro market he said.

The acquisition by Tilray will not change much on the face of Montauk Brewing, he said. He and Moss will continue to manage the brewery and all of the company’s other staff will remain as employees.

“Eric and I are here working hard — he’s brewing beer right now,” Cutillo said. “It’s an exciting time for Montauk Brewing. We think that they have big plans for the brand and we think they’re going to be a good partner.”