Constellation Brands to acquire Hop Wtr, expanding non-alcoholic beverage portfolio
Constellation Brands moves to fully acquire Hop Wtr, strengthening its position in the fast-growing non-alcoholic and functional beverage segment in the US market.
USA – Constellation Brands has agreed to acquire the remaining stake in Hop Wtr, a US-based non-alcoholic sparkling water brand infused with hops and adaptogens, as it expands its presence in the fast-growing low- and no-alcohol segment.
The Modelo brewer first invested in Hop Wtr five years ago and has now moved to take full ownership of the brand. Financial terms of the deal, which is expected to close next month, were not disclosed.
Founded in 2020 by Jordan Bass and Nick Taranto, Hop Wtr was developed as a calorie-free alternative to beer, offering functional benefits through ingredients such as ashwagandha and L-theanine.
The brand is currently stocked by major US retailers including Sprouts Farmers Market, Target and Wegmans.
Constellation said the acquisition aligns with evolving consumer preferences around moderation and wellness. Jim Sabia, president of the company’s beer division, highlighted the strategic fit of the brand within its portfolio.
“With the non-alcoholic segment becoming one of the fastest growing areas of total beverage alcohol, Hop Wtr is a natural addition to our no- and low-alcohol portfolio,” he said.
The company cited Circana multi-outlet and convenience data showing that sales of non-alcoholic beer in the US grew by 22% in 2025, underlining the category’s rapid expansion.
Hop Wtr’s founders see the acquisition as an opportunity to scale further. Bass, who will join Constellation, said: “I’m confident [the deal] will help us keep the momentum going and am excited to work together on the next phase of growth.”
The brand has expanded its product range beyond its core sparkling water offerings, introducing iced tea variants and partnering with Stone Brewing to launch a non-alcoholic, IPA-style hoppy water.
Hop water as a category has gained traction since the 2010s, with early entrants such as H2OPS and later developments including Lagunitas Hop, launched in 2019 by Heineken-owned Lagunitas.
Hop Wtr has differentiated itself through the inclusion of functional ingredients, with the company stating that L-theanine “support a relaxed, alert state, helping you feel calm and clear-headed without stimulation.”
The acquisition follows Constellation’s broader push into functional beverages, including its minority investment in Hiyo, another US-based non-alcoholic drinks company.
The deal comes ahead of a leadership transition at Constellation, with Nicholas Fink set to become president and CEO next month, succeeding Bill Newlands, who will remain as a strategic advisor during the transition period.
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