Summit Brewing Company has avoided an immediate foreclosure threat after reaching an agreement with BMO Bank and securing a new, unnamed lender for its outstanding loans.
The St Paul-based brewery said the arrangement gives it a clearer route forward, with the new lender working alongside management and owners on a recapitalisation and long-term growth strategy.
Summit said its brewery, taproom and day-to-day operations would continue as normal. It also said customers should not expect any disruption to supplies.
Summit Brewing’s new lender to support recovery plan
The agreement ends BMO’s role as Summit’s lender, while the brewery’s existing loans are transferred to the new financial backer. Summit has not disclosed the lender’s identity or the terms of the deal.
The development follows a foreclosure lawsuit filed by BMO in Ramsey County District Court on September 10. The bank alleged that Summit owed at least $8.22 million, including about $7.9 million in principal, more than $313,000 in interest and roughly $32,000 in fees.
The debt arose from two loans taken out in late 2024: a $6.88 million term loan and a $1.25 million revolving line of credit. BMO had sought the sale of Summit’s St Paul property and the appointment of a receiver to take control of the brewery’s operations and assets.
Summit chief executive Brandon Bland had previously said the company was speaking to several potential investors as it sought replacement capital. The brewery’s property, machinery and equipment had been pledged as security for the loans.
A court hearing on BMO’s request to appoint a receiver was later withdrawn, although the lawsuit remained open in court records. The new agreement is expected to prevent the immediate loss of Summit’s brewery while its financial restructuring is developed.
Summit said the new lender was now working with its management and ownership to strengthen the company’s balance sheet and support its plans for future growth.
