Craft beer producer BrewDog has sold about a fifth of the business to an American private equity firm in a deal valuing it at about £1 billion, which will take it “to the next level” amid reported plans for an IPO in the next five years.
The brewer, based in Aberdeenshire’s Ellon and founded in 2007 by James Watt and Martin Dickie, said TSG Consumer Partners has bought a stake of about 22 per cent, with the transaction aiming to deliver long-term capital with a ten-year timescale. It also entails £100 million to fund BrewDog’s continued global growth, and further proceeds for early shareholder liquidity.
It has been reported that combined with San Francisco-based TSG’s spend on buying stock from existing backers, the deal amounts to £213m, with Watt and Dickie to receive up to £100m. Watt was also quoted as saying the transaction backs the brewer’s plans to go public within four to five years.