Bud Light's struggling. Now its owner is reportedly buying a punch maker.

By Jules Rimmer

Anheuser-Busch InBev is seeking growth opportunities away from its traditional beer market into the ready-to-drink sector.

Photo by Brandon Bell/Getty Images

Anheuser-Busch InBev , one of the world's largest beer companies and owner of brands like Budweiser, Stella Artois and Michelob, is reportedly in talks to buy BeatBox, a manufacturer of boxed, wine-based punch, for around $700 million.

The Wall Street Journal, citing people familiar with the matter, reported the talks. The company did not return a message seeking comment.

Founded in 2011 by University of Texas alumni and headquartered in Austin, BeatBox produces a range of punch drinks, packaged in colorful, Tetra-Pak containers with a screwtop and has been highly successful in developing its brand by appealing to a youthful, budget-conscious audience, particularly those attending music festivals and parties.

The brand first came to prominence when it was featured on the Shark Tank television show in 2014 when entrepreneur Mark Cuban bought the third of the company he still owns for $1 million. Former basketball player Shaquille O' Neal is also a high-profile investor.

Growth at BeatBox has been explosive with 12 million cases expected to be sold in 2025 compared to just 380,000 in 2020. The 500-milliliter boxes retail between $4 and $5 and the ready-to-drink market is expanding rapidly with GrandView Research forecasting a compound annual growth rate of 15.5% out to 2030.

Grand View Research forecasts the market for RTD drinks to grow at a 15% CAGR out to 2030 from $3.2 billion in 2024.

For AB InBev, whose focus has traditionally been beer, the acquisition would fit neatly within its recent branching out into the RTD sector with recent purchases of vodka seltzer Nutrl and canned cocktails Cutwater.

At this stage, however, the transaction, if talks progress and the deal is confirmed, is still relatively minor given AB InBev's EUR92 billion market capitalization and global sales of EUR55 billion in 2024.

Citi's AB InBev analyst, Simon Hales calculates the reported valuation of BeatBox at around 20 times earnings before interest, taxes, depreciation and amortization. He thinks the deal is "strategically sensible" and given the marketing problems with Bud Light over the past year, it's a welcome sales growth opportunity and an appealing brand to add to the portfolio.

Most analysts, according to FactSet, rate AB InBev (BE:ABI) a buy with no sell ratings at all and a mean target price of EUR67. In Wednesday morning trading in Brussels, the shares rose 0.38% at 52.82. Its New York stock exchange-listed American depositary receipts (BUD) have delivered a 21% return so far in 2025.

-Jules Rimmer

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11-19-25 0531ET