C&C Group could be making more drinks in the UK post-Brexit

The owner of Tennent’s lager and Magners cider, C&C Group, has announced that it could be producing products for several European drinks companies at its Glasgow brewery post-Brexit.

As reported by Reuters, the Irish drinks group, which bought Matthew Clark and Bibendum earlier this year, is in advanced talks with producers in mainland Europe to manufacture products for them at its Glasgow brewery once Britain leaves the EU.

C&C Group chief executive Stephen Glancey told the news site that Brexit presented some opportunities for the company.

“You’ve got other manufacturers coming to us and saying ‘can you manufacture for us in the UK’? … The discussions are reasonably meaningful,” he said.

“We would be reasonably confident that we’ll pick up some volumes over the next two or three years at Wellpark (plant) in Glasgow, partly because of Brexit and partly because of the decline of sterling”.

Speaking of company plans should there be a ‘hard Brexit’, Glancey added: “We would pre-manufacture in the (Irish) Republic, so we’ve got liquid stock that would see us through two years,” Glancey said.

“We’d package that and get it over to the UK so that we can keep Magners flowing through Cheltenham (horse racing festival) and right through the summer, so there is no immediate risk there”.

Glancey’s comments follow the release of the company’s half year results which saw revenue growth of 186% to reach €838.7m and operating profit up 16% to €58.4m for the six months ending 31 August.

This includes the first contribution from Matthew Clark Bibendum, which C&C bought in April, while the group’s core business revenue netted over €309m, up 6.4%.

In the half year statement, Glancey said of the acquisition of Matthew Clark Bibendum (plus other subsidiaries in Conviviality’s wholesale arm): “Since the acquisition of Matthew Clark and Bibendum our absolute focus has been the stabilisation of the businesses.

“By the end of September we settled £129m of monies owed to suppliers, paid taxes owed of £31m and collected £146m of monies due from customers”.

Further investment

Glancey also revealed that the company would be investing heavily in its Five Lamps Irish craft beer brand.

In the company’s half year results, the Dublin-based beer brand performed well, increasing revenues by 50%. Glancey told the Irish Examiner that C&C would be investing in a new brewery for the brand in the next three or four months.

Its also expected that the company will be spending between €1m to €2m on increasing cider production at its site in Co Tipperary.

Leave a Reply

Your email address will not be published. Required fields are marked *

Please note that comments are subject to our posting guidelines in accordance with the Defamation Act 2013. Posts containing swear words, discrimination, offensive language and libellous or defamatory comments will not be approved.

We encourage debate in the comments section and always welcome feedback, but if you spot something you don't think is right, we ask that you leave an accurate email address so we can get back to you if we need to.

Subscribe to our newsletters

Events & Admin Assistant

The Drinks Business
London SE1, UK

Brand Manager - Key Wine Partners

MMI Dubai
Dubai - United Arab Emirates

Business Development Manager

Bashall Spirits
Lancashire, UK

Territory Manager - London​

Cadrona Distillery
London, UK

Business Development Manager

Lucozade Ribena Suntory

Customer Marketing Manager

London NW1, UK

Export Assistant Co-ordinator - Maternity Cover

Speciality Drinks
Whitby Avenue, London NW10 7SF, UK

Customer Services Administrator - On Trade

Speciality Drinks
Whitby Avenue, London NW10 7SF, UK

Fruit Focus 2019

East Malling,United Kingdom
17th Jul 2019

International Bulk Wine and Spirits Show

San Francisco,USA
23rd Jul 2019

The Wine Show Chelsea 2019

London,United Kingdom
18th Oct 2019
Click to view more

The Global Riesling Masters 2018

View Results

Global Chardonnay Masters 2018

View Results

Click to view more