Due to declining sales, Alamo Beer Company, a San Antonio-based brewer, has filed for Chapter 11 bankruptcy on Monday, February 3. The brewer, whose origin can be traced back to 1997, had been operating as of lately in a reduced capacity and was recently looking to parts of its operation in 2024.
Videos by Wide Open Country
Eugene Simor, founder and owner of Alamo Beer Company, revealed to KSAT that they plan to "recapitalize, restructure and return stronger." This follows a worrying trend that has driven many Texas breweries to bankruptcy. In the case of Alamo, while they can make 40,000 barrels a year, they were only operating under 20 percent capacity. This translates to only making 7,600 barrels a year, according to KENS5.
The Daily Mail reports that Simor recognizes the slowing down trend of the craft beer sector. "The real estate value has escalated much faster than the distribution side of business," he said. Other companies in the sector that have suffered a similar fate include Busted Sandal, Second Pitch, and Weathered Souls.
MySa also reported details about the bankruptcy filing. Reportedly, Alamo Beer Company estimated its assets between a million to ten million dollars. This is a preset range on a bankruptcy petition, however, with the company also listing out 20 creditors who have unsecured claims that range from 4 thousand to 40 thousand dollars.
Alamo Beer History
Alamo Beer was founded back in 1997 by California Polytechnic State University graduate Eugene Simor, according to MySa. He developed an interest in craft beer back when he studied industrial technology during the '80s. Years later, in 2003, Simor and the Alamo Beer Company began distributing its beer in San Antonio with the help of Real Ale Brewing Company.
However, it was during the 2010s that Alamo Beer Company wanted to have a brewery of its own. It was not that easy, though, as Simor attempted to purchase a lot adjacent to a lot of his own to build the brewery. A years-long legal battle eventually led Simor and Alamo Beer to construct their brewery at their already-owned plot in 2015.
In 2023, Alamo Beer Company purchased Shotgun Seltzer and merged it with VIVA Beer. By September 2024, outlets reported that Simor was looking for options to keep his business afloat, which included selling Alamo Beer to potential buyers. Finally, the company filed for Chapter 11 bankruptcy just a week after its 10th anniversary of opening its own brewery.
