Strategic Beverage Services acquires BevZero’s US assets to expand dealcoholisation capacity

Deal brings together two beverage processing operations as demand for no- and low-alcohol products continues to grow.

USA – Strategic Beverage Services has acquired the US operations of BevZero in a deal that will create what the company describes as the country’s largest dealcoholisation service provider.

Financial terms of the transaction were not disclosed.

The Santa Rosa, California-based beverage processor said the acquisition will significantly expand its processing capacity and geographic footprint, strengthening its ability to serve wineries, distilleries, cider producers and functional beverage companies.

The transaction includes all of BevZero’s US assets, including three spinning cone vacuum distillation columns, as well as associated tanks and other processing equipment.

Strategic Beverage Services has also acquired the US franchise rights from BevZero International, which will now concentrate on expanding its operations and services across Europe.

Spinning cone technology is used in the production of dealcoholised beverages to remove alcohol while seeking to retain desirable flavour and aroma compounds.

The technology has become increasingly important as beverage manufacturers develop products targeting consumers seeking alternatives to traditional alcoholic drinks.

Under the new operating structure, dealcoholisation services will continue to operate through BevZero, while bottling, canning and wider production activities will be managed by Strategic Beverage Services.

Projects requiring both processing and production capabilities will be delivered under the Strategic Beverage Services name.

Supporting no- and low-alcohol innovation

The acquisition comes as the no- and low-alcohol (NoLo) beverage segment continues to attract investment from producers across wine, spirits, beer and functional beverages.

Strategic Beverage Services offers dealcoholisation alongside product formulation and recipe development, enabling customers to move from beverage concept development through processing and packaging.

The company currently produces no- and low-alcohol wine and cider-based beverages for brands including Fraudonnay, Solubrea, Drink Nouvie, Yours and Rayner Mansion.

Its existing infrastructure includes a dealcoholisation facility in Santa Rosa and a production and bottling site in Lodi, California.

Strategic Beverage Services said it plans to open additional facilities next year that will combine bottling, canning and sparkling wine capabilities at individual locations.

The planned sites are expected to manufacture both non-alcoholic and full-strength beverages, giving producers greater flexibility as they respond to changing consumption patterns.

The expansion also reflects a broader shift in beverage manufacturing, with producers increasingly seeking specialist partners capable of handling multiple stages of production rather than investing in dedicated infrastructure themselves.

For ingredient suppliers, processors and packaging companies, the growth of dealcoholised beverages is creating new opportunities across flavour systems, aroma recovery, functional ingredients and specialised processing technologies.

The BevZero transaction highlights the growing strategic importance of dealcoholisation infrastructure as the beverage industry expands beyond traditional alcoholic categories.

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