• Loading stock data...
Thursday, December 5, 2024

Monster and Corona Parent Near $85B Merger

  • Monster Energy and Constellation Brands could merge, creating an $85 billion company.
  • Monster has numerous sports sponsorships.
Monster-Energy-Constellation-Brands
Daytona Beach News-Journal/USA TODAY NETWORK/Design: Alex Brooks

Energy drink maker Monster Beverage is close to a merger with Constellation Brands that would create a company worth roughly $85 billion.

Monster, which has long allied itself with extreme sports and gaming communities, owns a suite of brands including Nos and the athlete-focused Reign. 

Constellation produces beer brands Corona and Modelo, which both have sponsorships in college sports. Constellation also has partnerships with the New York Giants, Jets, and Buffalo Bills. Modelo signed a deal with UFC in September for three years in the “low-eight figures.”

  • Monster sponsors NFL star Rob Gronkowski, Mercedes’ Formula 1 duo Lewis Hamilton and Valtteri Bottas, and athletes in UFC, bull riding, surfing, skateboarding, and other racing and watersports. 
  • Reign’s athlete ambassadors include the New England Patriots’ Ronnie Perkins, as well as athletes in fitness and fighting sports. 

The companies are of approximately equal size, with Monster holding a market capitalization of $43.7 billion and Constellation $41 billion, as of Thursday.

Coca-Cola is a major investor in Monster, holding a nearly 20% stake.

Unique Mixture

While a combined company might have limited potential for new efficiencies — given that Monster and Constellation operate mostly in separate spaces — it would establish a conglomerate without an obvious comparison in the American market. 

In January, Monster bought Canarchy Craft Brewery for $330 million. Constellation has a 40% stake in Canadian cannabis company Canopy Growth Corp., which sells THC-infused beverages.

Linkedin
Whatsapp
Copy Link
Link Copied
Link Copied

What to Read

Feb 11, 2024; Paradise, Nevada, USA; Elon Musk looks on before Super Bowl LVIII between the San Francisco 49ers and the Kansas City Chiefs at Allegiant Stadium.

Can Elon Musk’s X Fix Its Rampant Fake Sports News Problem?

Little is known about how X will enforce its new policy aimed at parody accounts.
Oct 1, 2024; Brooklyn, New York, USA; Las Vegas Aces guard Kelsey Plum (10) drives past New York Liberty forwards Kayla Thornton (5) and Betnijah Laney-Hamilton (44) during game two of the 2024 WNBA Semi-finals at Barclays Center.

Kelsey Plum Backs Out of Unrivaled

She’s skipping the new league’s season, along with Caitlin Clark.
Nov 26, 2024; Las Vegas, Nevada, USA; Oregon Ducks guard Keeshawn Barthelemy (9) approaches Texas A&M Aggies guard CJ Wilcher (10) during the first half at MGM Grand Garden Arena. Mandatory

Is This $9 Million Basketball Tournament the ‘Future of College Sports’?

NIL opportunities for players are scheduled throughout the six-day tournament.

Featured Today

Dec 18, 2022; Lusail, Qatar; FIFA president Gianni Infantino claps during the awards ceremony after the 2022 World Cup final between Argentina and France at Lusail Stadium.

FIFA Wants More Matches. Resistance Is Growing Inside the Global Soccer World

Resentment and frustration over expanded schedules is nearing a breaking point.
November 30, 2024

U.S. Investors Are Gunning for England’s Small Soccer Clubs

Is another Hollywood-like success story possible among the U.K.’s smallest clubs?
Nov 1, 2024; Boise, Idaho, USA; Boise State Broncos running back Ashton Jeanty (2) leads the team onto the field prior to the first quarter against the San Diego State Aztecs at Albertsons Stadium.
November 29, 2024

Schools Are Scrambling to Prepare for the NCAA Revenue-Sharing Era

In the post–House v. NCAA world, “everyone’s kind of on their own.”
Nov 4, 2024; Kansas City, Missouri, USA; Recording artist Taylor Swift arrives prior to a game between the Tampa Bay Buccaneers and the Kansas City Chiefs at GEHA Field at Arrowhead Stadium.
November 29, 2024

The PWHL Could Be Inviting a Date With Taylor Swift’s Legal Team

The Toronto Sceptres may have opened a Pandora’s box of trademark issues.

U.S. Firm Makes $310M Bet on Soccer by Forming Superagency

The U.S.-based investment company makes a significant play in international soccer.
Oct 27, 2024; Seattle, Washington, USA; Buffalo Bills quarterback Josh Allen (17) passes against the Seattle Seahawks during the second quarter at Lumen Field.
October 30, 2024

Buffalo Bills in Talks to Sell Stake to PE Firm Arctos: Report

Arctos already has a slice of Paris Saint-Germain and the PGA Tour, among other assets.
November 13, 2024

Why Liberty Media Spun Off Assets, Shook Up Leadership

Longtime CEO Greg Maffei is stepping down at the end of the year.
Sponsored

How UBS Crafts Impactful Partnerships Across Sports, Arts, and Culture

As UBS continues to expand its impressive array of sports and entertainment partnerships, the company solidifies its position as a leader in wealth management.
Jul 7, 2021; Tampa, Florida, USA; Tampa Bay Lightning owner Jeff Vinik hoists the Stanley Cup after the Lightning defeated the Montreal Canadiens 1-0 in game five to win the 2021 Stanley Cup Final at Amalie Arena.
October 25, 2024

Lightning Sell at $1.8B Valuation, Nearly Double Prior NHL Record

The Lightning unveiled a multistep and multiyear sale process.
May 24, 2024; Minneapolis, Minnesota, USA; Dallas Mavericks owner Mark Cuban celebrates after defeating the Minnesota Timberwolves in game two of the western conference finals for the 2024 NBA playoffs at Target Center.
October 9, 2024

Why Mark Cuban Sold the Dallas Mavericks When He Did

Cuban sold his majority stake to the Adelson family in December 2023.
Young fans look over Michigan State sports equipment on display during the Spring Showcase on Saturday, April 20, 2024, at Spartan Stadium in East Lansing.
October 2, 2024

Private Equity Firms Buy Rival Hockey Brands CCM and Bauer

Both brands have been around for decades and changed ownership in the same week.
September 18, 2024

Rogers Tightens Grip on Canadian Sports With $3.46B MLSE Stake

The Blue Jays owner makes a big move to corner most of the Toronto pro sports market.