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Pyramid Brewing and Magic Hat announced today that they will merge, pursuant to a letter of intent. According to the terms of the agreement, Magic Hat will acquire Pyramid in an all-cash offer and then the two will merge.

From the press release:

The proposed transaction is subject to the negotiation and execution of a definitive merger agreement. The merger agreement will provide for a first-step tender offer for outstanding Pyramid shares by an acquisition entity wholly owned by Magic Hat, to be conditioned upon the acquisition of at least 66 2/3% of the outstanding shares of Pyramid. The tender offer, if consummated, will be followed by a merger of Magic Hat’s acquisition entity with and into Pyramid. The proposed transaction is also subject to the satisfactory completion of a due diligence review by Magic Hat of the business, financial and legal affairs of Pyramid, and receipt of necessary consents and approvals of regulatory agencies and third parties.

The closing of the proposed transaction, subject to the conditions referred to above, is anticipated to occur not later than August 31, 2008. The board of directors of Pyramid has approved the transactions contemplated by the Letter of Intent.

“The combination of these two well established, high profile craft breweries will be very complementary given our respective brand portfolios and the geographies in which we predominantly operate. Additionally, there will be a number of important benefits for Pyramid to be part of a private company versus continuing to operate as a stand alone public entity. This consolidation makes both good strategic and financial sense and is well timed, particularly as the beer industry’s competitive dynamics continue to intensify,” said Pyramid CEO Scott Barnum. “The Company will continue to have offices in Seattle, its historical home, and will seek opportunities to capitalize on the enhanced assets and capabilities of the new combined entity,” he added.

Martin Kelly, CEO of Magic Hat said, “We have a great deal of respect for Pyramid’s brand heritage, award-winning beers and its dedicated employees, and look forward to consummating this transaction, which provides both strategic and financial benefits both to Pyramid’s and Magic Hat’s stakeholders.”

Hmm, not sure what to make of this yet. I’m not generally a fan of small companies becoming bigger through merger, but who knows. There’s certainly no market overlap between the two, so perhaps it will beneficial for both. We’ll have to wait and see.

After initially posting this, an industry insider friend of mine opined offline that he knew that Alan Newman, the owner of Magic Hat, had been looking for a way to get his brands to the left coast. Pyramid has a excellent distribution network which would be very beneficial to Magic Hat in reaching stores shelves out here. Both brands do pretty well in their own markets and so perhaps there is a mutual benefit. As my friend put it, it’s “a real make-sense deal.”

This year, Avery Brewing celebrates its fifteenth anniversary, and as they’ve done for the last five or so years, they’re releasing a special anniversary ale, this one named “Fifteen.” The last few I’ve had have been quite wonderful and this year’s beer promises more of the same. According to the label, it’s a “refreshingly tart, fruity funky farmhouse ale brewed with black mission figs, hibiscus flowers and white pepper” and “fermented with 100% brettanomyces.”

From the press release:

For the past couple of years, we’ve been working with several strains of brettanomyces (wild yeast). We found one and deemed it the best for its tart flavor and funky, fruity aroma. Adding black mission figs for a subtle jammy aspect, hibiscus flowers for an herbal bouquet and hazy sunset hue, and white pepper for a bit of spicy twang, we’ve created FIFTEEN — a unique drinking experience inspired by the wild farmhouse ales of Belgium. Though immensely complex today, more flavors will emerge with time, so throw a few bottles in your cellar for future celebrations.

It will be available beginning May 5 in 22 oz. bottles, but you can get some before that by attending the Fifteen Release Party at the Avery Tasting Room on Wednesday, April 30th from 4-7 pm. Tickets will be $10.

The Oregon Brewers Festival is a mere three months away, but already tickets are on sale for the Oregon Brewers Brunch and Parade, which will take place the morning of the first day of the festival. This year, the brunch will be held at PGE Park, 1844 SW Morrison, on July 24 beginning at 9:00 a.m. The brunch is limited to 300 people. An order form for tickets to the brunch and parade are available online. It will be sponsored by Widmer Bros. Brewing.

From the press release:

Tickets are $20, which includes brunch, Widmer beer, a parade t-shirt and an OBF festival mug (good all weekend long). It’s the deal of the century! The event is limited to 300.

At 11 a.m., brewers and beer lovers will set out for an old-fashioned parade, accompanied by marching band music. The parade will wind its way for approximately one mile through Portland sidewalks to the opening ceremonies and the tapping of the inaugural keg of the 21st annual Oregon Brewers Festival.

Here are some photos from last year’s parade, which began at Rogue.

Portland Mayor Tom Potter with festival organizer Chris Crabb as the parade begins.

The parade wound its way through Portland’s downtown until everyone massed across the street from the festival grounds and crossed the street to enter the festival and tap the ceremonial keg, signaling the opening of the festival.

Perhaps I’ll see you there this year.

Jon, from the Brewsite, predicted at the beginning of this year that 2008 would be the Year of the Beer Blog. He may be onto something. Charlie Papazian just started his own beer blog, the Beer Examiner; named not so much for what he hopes to write about, but because it’s hosted on the Examiner chain of newspapers website (with print editions in 3 cities and local news online in 57 cities). Papazian, of course, founded what is now the Brewers Association way back in 1978, and has naturally been paying closer attention to the brewing industry far longer than most of us. So it should certainly prove illuminating to follow along with his near-daily “examinations” of what’s going on in the beer world. Charlie’s perspectives are always worth hearing, and I was pleased I got a chance to sit and chat with him, and a few others, during one of the trade show buffet lunches last week. I must confess I was initially surprised that his new blog wasn’t associated with the BA, but he should be able to reach a much wider audience this way so I think it does make sense. Plus he can write his own personal opinions without having to worry about speaking for the Brewers Association.

Welcome to the blogosphere, Charlie. We’re glad to have you with us.

During the trade show at the Craft Brewers Conference in San Diego last week, my good friend JoAnne Carilli, who’s with White Labs, came up to me excitedly, telling me she had something special for my kids. And she really did, as you can see these wonderful pink and blue hoodies are pretty awesome. Thanks JoAnne, I can hardly wait for winter so they can wear them all the time.

Sam Calagione, the founder of Dogfish Head Craft Brewery in Delaware, is legendary for many things, not least of which is his energy. He could probably tire out my six-year old, Porter. Sam is also a consummate marketer, showman and storyteller. Ask him about walking through Chicago’s O’Hare Airport with a brick of hops. I’ve known Sam for a lot of years. He’s a terrific person, makes great beers and is a wonderful asset to the beer industry. So I was pleased when the Chronicle asked me to do one of their “Uncorked” articles on Sam. Ironically, I got the call from my editor while driving to the Lost Abbey beer dinner near San Diego where I would see Sam and be able to ask him in person about scheduling.

So before an event Monday night at the Toronado introducing, or should I say re-introducing (there used to be some Dogfish Head beers available in Southern California), Dogfish Head beers to California, I sat down with Sam and asked him a series of questions. The article should most likely run in the San Francisco Chronicle on Friday, May 9.

Afterwards, the event was a rousing success with standing room only throughout the evening. Three Dogfish Head beers will be available throughout California: 90 Minute IPA, Midas Touch Golden Elixir and their new Palo Santo Marron, which means literally “Holy Tree Brown.” They were also serving three specialty beers that won’t normally be available: Chateau Jiahu, Immort Ale and the Olde School Barley Wine. These were well paired with three different artisanal cheese; stravecchio, gruyere and a cantal. There were also local distributor folks in the back room for a chance to learn about the beers they will start selling directly from Sam. But Sam was his usual ball of energy and bounced around the bar like a bottle uncorked, shaking hands, handing out cheese and sharing his beer with the crowd. In retrospect, I’m surprised I got him to sit down for as long as I did, but it sure was fun.

The “Five Guys and a Barrel” beer dinner Sunday night at the Cathedral Hill Hotel in San Francisco featured five, count ’em, five, brewers and their beers. Rob Tod (from Allagash), Adam Avery (from Avery), Sam Calagione (from Dogfish Head), Tomme Arthur (from the Lost Abbey) and Vinnie Cilurzo (from Russian River Brewing) all got together for one special evening of food and beer. We were all a little tired after nearly a week in San Diego for the Craft Brewers Conference, but the wonderful food the beer chef, Bruce Paton, put together certainly lifted our spirits and enriched our souls.

After the dinner, a toast was offered with Isabelle Proximus, the Collaborative Sour Ale made by blending beer, which was made by Adam Avery, Rob Todd, Sam Calagione, Tomme Arthur, and Vinnie Cilurzo; with food, of course, by Bruce Paton.

For more photos from Five Guys and a Barrel Beer Dinner, visit the photo gallery.
 

Here is the second half of the photos I took at the 2008 World Beer Cup Gala Awards ceremony, which was held last Saturday in San Diego, California.

Brendan Moylan and Arne Johnson, from Marin Brewing, picking one of the three medals Arne won.

The hard-working staff of the Brewers Association who put on Craft Brewers Conference and the World Beer Cup competition. For many more award photos, go to part 1 of the photo gallery, followed by part 2.

For many more photos from the second half of this year’s World Beer Cup Awards, visit the photo gallery.
 

Leave it Sierra Nevada Brewing to figure out a way to release their fresh hop beer, Harvest Ale, not once, but three times throughout the year. The regular harvest ale, which they’ve been making since 1996 — and which was released in bottles for the first time last fall — will continue to come out seasonally right after the harvest in Yakima, using Cascade and Centennial hops. But in May they’ll release another Harvest Ale, known as Southern Hemisphere Harvest Ale made with freshly picked hops from New Zealand. Then, at some point during harvest season, they’ll also do a separate bottling of Harvest Ale, using hops grown in the hopyard adjacent to the brewery. This version will be called Chico Estate Harvest Ale and will only be available in very limited quantities, determined by the yield from their own hops.

 
It will be fun to compare the two that come out around the same time. It’s too bad we won’t really be able to compare all three, but the Southern Hemisphere Harvest Ale will not be fresh at the same time as the other two, but ces’t la vie. That’s the point of fresh hop beers; here today, gone tomorrow.
 

The 2008 World Beer Cup Gala Awards ceremony was held last Saturday in San Diego, California. 2,864 from 644 breweries in 58 countries competed for medals in 91 categories. In each category, usually a distinctive beer style, a gold, silver and bronze is awarded, though on occasion one medal within a category is not given if none of the beers meet the written criteria for the style. Approximately 268 medals were awarded (91 x 3 = 273, minus 5 awards not given).

Of the 91 categories, an average of 32 beers was entered in each, with IPAs getting the most (77) followed by German-style Pilsener (72). Of the 58 countries entering, beers from 21 won medals, with the US winning the most (158), Germany in second (25) and Belgium in third (11). Beers from the State of California itself won 35 medals, with Colorado winning 22 and Oregon 16.

Bas and Hildegard, from Urthel, accepting their award. For many more award photos, go to the photo gallery.

For many more photos from the first half of this year’s World Beer Cup Awards, visit the photo gallery.