Philadelphia’s Evil Genius Beer makes a national play by buying the shuttered 21st Amendment brand

Philadelphia’s Evil Genius Beer Co. has acquired the brands and distribution rights of the shuttered 21st Amendment Brewery in what is said to be a seven-figure deal, handing the Fishtown brewer control of a once-prominent national craft beer label.

The acquisition, announced as the Craft Brewers Conference opens in Philadelphia this week, includes 21st Amendment’s beers, such as Hell or High Watermelon and Brew Free! Or Die IPA, as well as the brand’s distribution rights; 21st Amendment’s production brewery near San Francisco, which shut down in November, was sold separately.

For Evil Genius, the deal is a chance to revive a bigger brand without taking on the costly infrastructure that helped drag it down.

Evil Genius cofounder Luke Bowen told The Inquirer that he and business partner Trevor Hayward were introduced to the seller through a friend. As they looked into the opportunity, Bowen said, they learned that Pennsylvania was 21st Amendment’s largest market outside California. The two companies also shared Philadelphia distributor Origlio Beverage, and 21st Amendment cofounder Shaun O’Sullivan has family ties in the Philadelphia suburbs, Bowen said.

“Philadelphia has become a really interesting beverage-brand hub,” Bowen said, pointing to Stateside and its Surfside label’s Philadelphia roots. “People always say you have to build a brand in New York or Los Angeles, but that’s clearly not the only path.”

Founded in 2011 by Bowen and Hayward, who were classmates at Villanova University’s business school, Evil Genius built its name on beers with cheeky labels such as Stacy’s Mom, #ADULTING, and 867-5309. The company opened its headquarters and taproom at 1727 N. Front St. in 2017.

Though Evil Genius uses its 15-barrel brewhouse for small batches and taproom releases, it relies mainly on contract brewing for its wider lineup, now sold in eight states, mostly along the East Coast, compared with 21st Amendment’s coast-to-coast footprint of 29 states.

That model is central to Evil Genius’ bet that it can make 21st Amendment work where the old version could not.

Evil Genius bought 21st Amendment’s assets from an entity affiliated with its private-equity owner, Bowen said, describing the purchase price as seven figures without further detail. He said Evil Genius has no institutional investors, relying instead on friends and family for capital.

Bowen said the company is not trying to recreate the old strategy of owning one large brewery and shipping beer all over the country. Instead, it plans to produce 21st Amendment beers through partner breweries closer to the markets where they are sold.

“Our whole model since day one has been very asset-light,” Bowen said, which is why Evil Genius did not want the California plant. “Shipping from California to the East Coast is incredibly expensive, and shipping from Pennsylvania to the West Coast is incredibly expensive.”

Right now, Bowen said, two breweries are making both Evil Genius and 21st Amendment products, though the company could add more partners if that helps cut freight costs in other regions.

The deal also gives Evil Genius immediate access to markets where 21st Amendment already had shelf presence and consumer recognition. Bowen said production started and shipments began last month, with 21st Amendment beers already back on shelves in California, New Jersey, and Pennsylvania. Drinkers can again find brands including Hell or High Watermelon, Brew Free! Or Die IPA, Brew Free! Or Die Blood Orange IPA, Amendment Lager, and El Sully.

In 2022, Evil Genius brought back four kinds of Stoudt Brewing Co.’s beer, two years after craft beer pioneer Carol Stoudt retired and closed her brewery in Adamstown, Lancaster County.

Founded in San Francisco in 2000 by Nico Freccia and O’Sullivan and named for the amendment that repealed Prohibition, 21st Amendment began as a brewpub and grew into a top-30 craft brewer nationally. At its peak, having purchased its breweries through private equity, it produced more than 112,000 barrels a year. Its beers also continued to win competition honors, including recent medals for El Sully and Amendment Lager.

But the scale that helped make 21st Amendment a national name eventually became a burden. After years of losses and declining sales, the company announced in September that it would wind down operations and close its San Francisco and San Leandro facilities while seeking a buyer.

The purchase comes at a difficult time for the craft beer industry. The Brewers Association reported that U.S. craft brewers produced 23.1 million barrels in 2024, down 3.9% from the year before, while craft’s market share by volume slipped to 13.3%. The Gallup Poll last year said drinking is at a 90-year low, while more alcohol spending is shifting to categories such as ready-to-drink cocktails and hard seltzers (a category that Evil Genius tried and gave up a few years ago). For brewers, growth seems to be a fight for shelf space, taproom traffic, and brand loyalty.

Bowen said he sees that less as a death spiral than as a reset.

“People are trading volume for quality,” he said. “I think the rumors of [the industry’s] death are a little premature. In my mind, we’re buying the dip. Sometimes the best opportunities come then. I like the contrarian view.”