Heavy Seas Beer files for bankruptcy as founder prepares to retire, explores sale or merger

Heavy Seas Beer, one of the pioneering craft breweries in the Baltimore region, is filing for Chapter 11 bankruptcy protection.

The move comes as founder Hugh Sisson prepares to retire. But CBS News Baltimore has learned the brewery is not planning to close anytime soon.

An attorney representing Heavy Seas told CBS News Baltimore the filing is intended to clear the way for a potential sale or merger with another brewery.

"We are optimistic about Heavy Seas future and the fact that it is on a different path from what happened to Guinness," the attorney said.

The company said it has faced increasing financial pressures across the craft beer industry, along with the planned retirement of its founder.

Officials said the filing is intended to help reorganize the business and could pave the way for a sale or merger with another local brewery.

"As any sailor knows, the path is never a straight line," Heavy Seas said in a social media post. "Over the years, we've weathered plenty of storms, adapted, adjusted our sails, and kept moving forward.

"Today, the craft beer industry is facing some serious headwinds and breweries across the country are feeling the pressure."

Heavy Seas, based in Halethorpe, has been operating in the Baltimore region since 1995.

The brewery said it is working toward a sustainable path forward that would preserve the brand and the jobs it supports.

"As part of that effort, we're taking steps to reorganize the business with the goal of protecting the brand and the jobs it supports," the company said.

For now, Heavy Seas says it plans to continue brewing beer and serving customers as it works through the process. The company acknowledged that changes could be coming but urged customers to continue supporting local breweries.

"And if there was ever a time to support your local brewery, the time is now," Heavy Seas said.