Shares of Craft Brew Alliance skyrocketed 120% during extended trading Monday, following news that Anheuser-Busch will buy all remaining outstanding CBA shares in a cash transaction at $16.50 per share, more than double CBA's closing price of $7.33.
Anheuser-Busch shares, meanwhile, remained unchanged from its closing price of $78.71.
The transaction is expected to close in 2020, pending approval from a majority of CBA's shareholders not affiliated with Anheuser-Busch, the two companies said in a joint press release.
Anheuser-Busch currently has a 31.2% stake in CBA, and much of CBA's brands are already integrated through Anheuser-Busch's independent wholesaler network due to an existing commercial agreement between the two companies.
CBA's brands include Kona Brewing Company, Omission Brewing Company and Redhook Brewery, among others.Â
Once completed, CBA will join Anheuser-Busch's Brewers Collective, a collection of the brewing behemoth's craft partners.
"Anheuser-Busch has a long track record of working with its craft partners to help make the U.S. beer category stronger and more vibrant," said Anheuser-Busch CEO Michel Doukeris. "Our partnership with CBA goes back many years and we look forward to supporting CBA as they continue to bring great products to beer drinkers across the U.S."
