BrewDog barking up a new tree

Controversial British brewer BrewDog has been boosted by the arrival of two real-life dragon investors from the US, while also launching Equity for Punks – an online equity raising method which has never been seen before in the UK.

Through Equity for Punks, BrewDog, which has enjoyed 250% growth this year and recently hit the headlines for bringing us the UK’s strongest beer, has put 10,000 shares in their business up for grabs for £230 each.

Keith Greggor and Tony Foglio, two of the world’s most prolific drinks industry figures who were jointly responsible for growing Skyy Vodka into a billion dollar brand before selling Skyy Spirits to Campari in 2007, have invested a minority stake in the Fraserburgh-based brewery and have joined BrewDog’s management team, with Greggor becoming a company director.

The duo’s key focus will be to help grow BrewDog and particularly to increase sales and distribution in the US which is already a key export market.

Speaking on his reasons for investing in a Scottish company, Keith Greggor, who has set up an import business in the US, The Griffin Group, said: “During our many years in beverage alcohol, we have only seen a few game-changing players come in fresh to the industry. BrewDog is one of them.”

In a revolutionary business move BrewDog is offering people the chance to own part of their fast-growing business by investing online via www.equityforpunks.com

According to BrewDog, the move “gives people the chance to know what it feels like to own part of a brewery, buy their own beer in a shop and buy a round of their beer for their friends in a bar.”

Shareholders will also have involvement in the running of the company and be allowed to vote online on key decisions.

The community of 10,000 investors to Equity for Punks will also receive a lifetime 20% discount on beer at www.brewdog.com

the drinks business tracked down the first investor through the Equity for Punks scheme at last night’s launch event in London. Beer blogger Dave Bailey secured his stake at 1.30am on Tuesday morning to become the first Equity for Punks investor.

He told us: “There’s a real buzz around BrewDog and I really wanted to be a part of it.

“I wasn’t aware that I was the first but that’s quite surprising as I would have thought more people would have rushed to get their shares as soon as the scheme opened at midnight.”

The £2.3m raised from Equity for Punks will provide the funding for BrewDog to build the world’s first carbon neutral eco-brewery in Aberdeen – a brewery which investors will own part of.

BrewDog founder James Watt, who co-founded the company with business partner, Martin Dickie, said: “Since we started brewing in April 2007 we have been an extremely high growth company and with our recent US investment our business is on the cusp of phenomenal global success – we wanted to create a community of 10,000 BrewDog loving individuals to share in our future growth and share in our vision for BrewDog.  

“Our marketing strategy has always involved giving up control and shortening the distance as much as possible between ourselves and the people who drink our beers: Equity for Punks is the ultimate incarnation of this philosophy.

“Once the 10,000 shares are gone, they’re gone – so it’s a limited and unique opportunity to get involved.”

Speaking specifically on Equity for Punks, Greggor continued: “The whole craft beer movement is becoming a common global phenomenon, with no other beverage alcohol sector having such a committed involvement from its consumers.

“Equity for Punks provides a unique opportunity for those committed consumers to become part of the fabric of the industry.  It goes well beyond the task of simply raising capital by developing a community of BrewDog beer lovers who become an army of BrewDog brand ambassadors. This community will thrive, as will the brand.”

He added: “Coming out of the recession so many investors are disenchanted with their past institutional strategies, but Equity for Punks is so different, refreshing and tangible that for anyone remotely interested in good beer this will be their most fun investment in 2009.

“This is an extraordinary opportunity to participate in the success and future of BrewDog.”

Alan Lodge. 21.10.2009