By Shashwat Awasthi (Reuters) -Shares of Fevertree Drinks surged almost 24% after Molson Coors took an 8.5% stake in a $88 million deal that gives the beer giant exclusive rights to market the British company's cocktail mixers and tonic water in the United States.

As part of the agreement, the beer giant will manage the sales, distribution and production of Fevertree’s products in the US.

The London-listed mixer-maker said Molson Coors would acquire an 8.5% shareholding in Fevertree.