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Tilray Brands has acquired certain assets of BrewDog’s global platform, including the brand and related IP, UK brewing operations and 11 brewpubs in the UK and Ireland, for £33 million.
Tilray – a CPG company headquartered in New York and specialising in beverages, cannabis and functional F&B products – has purchased BrewDog’s UK and Ireland assets after the Scottish brewer appointed advisors to seek a new buyer last month following continued losses, job cuts and closures of ten of its UK bars.
Additionally, Tilray revealed it is currently separately negotiating to acquire certain BrewDog assets in the US and Australia, expected to be finalised in approximately 30 days.
The acquisition will create a $500 million global craft beer and beverage platform, and is expected to generate around $200 million in annual net revenue for Tilray as it pursues international growth into new markets. On a combined basis, Tilray said it expects to see its diversified global business reach $1.2 billion in annual revenue.
BrewDog, founded in 2007, is one of the UK’s largest independent craft beer brands. It is well known for its portfolio of portfolio of craft, premium and ‘low and no’ alcohol beer brands including its flagship Punk IPA.
Earlier today, it was revealed that the company had closed all of its bars for the day to comply with licensing issues related to a change in ownership.
For Tilray, which offers a diverse beverage portfolio spanning craft beer, spirits, energy drinks and more, the expansion into new markets is described as a ‘strategic priority and natural next phase of growth’.
The addition of BrewDog accelerates this process by providing scaled brewing capacity outside of the US, enabling Tilray to benefit from an established international distribution network alongside BrewDog’s brewpub and hospitality infrastructure in the UK and select international markets.
Irwin D Simon, chairman and CEO of Tilray Brands, said: “BrewDog is one of the most iconic, mission-driven craft beer brands in the UK. It helped redefine modern craft beer through bold innovation, fearless creativity and an unwavering commitment to great beer.”
He added: “Tilray’s management brings operational and strategic expertise, a diversified global beverage infrastructure and a disciplined investment approach needed to unlock BrewDog’s next phase of growth…. Through this expanded platform, we see significant growth opportunity for BrewDog through broader distribution and the ability to invest back into brand and innovation, while introducing Tilray’s complementary beverage brands into international markets.”
Hundreds of jobs have been impacted by the deal, with national lead for hospitality at UK workers' union Unite, Bryan Simpson, describing the chain's management of the rescue sale and its impact on staff a "national disgrace".
The union said it will be demanding 'urgent answers' from both Brewdog and Tilray with regards to the alleged lack of consultation with workers on redudancies, calling for full transparency around the sale process and unpaid wages.
