Diageo, one of the largest producers of spirits and beers in the world, announced on Monday that they have acquired Far West Spirits LLC, a company founded by Texas native Katie Beal Brown in 2019. It and owns Lone River Ranch Water, a rising popular agave flavored hard seltzer brand.
Katie Beal Brown will continue with Lone River Ranch Water as the brand’s Chief Executive Officer leading daily operations. Beal Brown will retain a minority interest in the business and work alongside Diageo North America to expand the brand’s growing customer base.
“We started Lone River with the dream of giving people a taste of Far West Texas. We are so grateful for the diverse set of communities that have embraced our brand, extending far beyond our small place on the map. We found in Diageo a world-class partner who believes in our vision to bring the spirit of Far West Texas to as many as we can,” says Beal Brown regarding the acquisition.
The young brand has a whimsical and mysterious origin story surrounding a river in West Texas. In an exclusive interview with Hard Seltzer News last year, Brown spoke of the importance of telling the story of West Texas. She highlighted the West Texan values that she believes are emblematic of the American West as a whole. Values “such as strength, endurance, hard work and dedication, all date back to a time when people lived off the land and were more connected to the foods they ate, the tools they used and the clothing they wore,” she said.
Lone River Ranch Water is a nod to the “Ranch Water” cocktail, a classic drink with roots in West Texas featuring tequila, lime juice and sparkling water. The hard seltzer brand is currently available in four flavors including Original Ranch Water, the base for all four options and made with organic blue agave nectar and lime juice.
Other flavors include Spicy Ranch Water (with jalapeño), Rio Red Grapefruit Ranch Water, and Prickly Pear Ranch Water. Prickly Pear is an exclusive flavor and currently only offered in the Variety 12-Pack. All options contain 80 calories, 3 grams of carbs, and a 4% ABV per 12 ounce can.
Diageo is a global heavyweight in the beverage alcohol market. They own over 200 brands including some of the most recognized names in the industry such as Crown Royal, Johnnie Walker, Guinness, Smirnoff, and Captain Morgan. Acquiring hard seltzer brands is a logical move for companies like Diageo, which hope to align themselves with the beverages most on trend in the industry.
Hard seltzer sales saw an impressive 259% growth in the U.S. between 2016 and 2019, with consumers opting for drinks that fit their health and lifestyle goals such as lower carb, lower sugar and lower calorie, and gluten free options. Sales remain high as consumers have gravitated towards ready to drink beverages while stuck at home during the pandemic.
With Diageo’s acquisition of the brand, both parties hope Lone River Ranch Water’s story and flavor will be able to reach a much larger audience.
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