Coors confirms Reef could be for sale

Coors Brewers has confirmed it is willing to sell Reef to anyone who comes up with the right offer.

Rumours have been circulating that it has been ready to offload the uncarbonated ready to drink (RTD) brand following a downturn in investment, with suggestions that it has already been offered to rivals in the market.

John Holberry, on-trade sales director at Coors, said: "Are we prepared to sell Reef? Yes, but only if we get the right offer.

"Clearly we are a brewer and from a strategic perspective our future is in beer. We know RTDs are something best handled by a company that has spirits or a range of RTDs."

However, he strongly denied the suggestion that Coors would simply discontinue the brand and allow it to die if a suitable buyer could not be found.

Last year the brand owner took the decision to reduce the number of Reef flavours from five to three.

If Coors does sell Reef it will end the company's interest in the RTD market, following the its decision in 2003 to discontinue Hooch, "the founding father" of the UK's RTD sector.

The RTD market is currently suffering, with volumes down by 19 per cent year-on-year (ACNielsen). Several smaller brands have been touted as potential fall guys. Two weeks ago, Diageo confirmed that it had discontinued Baileys Glide.

However, the decision Coors has taken with Reef will be seen as a shock as it has been surviving better than many of its rivals. Indeed, this year, it climbed back into the top 30 in The Publican's Brands Report.