What will Breal Group do with Purity Brewing Co?

Following the Breal Group’s surprise acquisition of Purity Brewing Co, db finds out if consolidation is on the cards.

The private equity firm Breal Group, which has already bought struggling British breweries including Yorkshire’s Black Sheep and London-based Brew By Numbers and Brick Brewery faced speculation last week when it snapped up Warwickshire’s Purity Brewing Co, saving it from facing administration.

Speaking to the drinks business, a spokesperson for the Breal Group assured: “Breal has no existing plans to consolidate Purity into any other brewery” and reiterated how it was aware of the positive aspects that the business still held. For instance, the Breal spokesperson highlighted how “the Purity brewery is remarkable in its ability to recycle its waste water via natural means which is unique in the industry. Furthermore, it’s largest customer base is within easy reach of the brewery”.

Upon being quizzed how the private equity company would set out to bring the business back to success, the spokesperson told db: “Breal will be delivering financial investment to ease cash pressures in the business and also improving all business processes, to return the business to profitability.”

Despite its claims, unrest over how that might be achieved circulated on social media last week, especially given how just weeks after the company was bought Black Sheep out of administration, news of the redundancies and closures circulated.

However, the spokesperson additionally hinted that Breal would soon “be making an announcement around a significant investment in Black Sheep in the New Year” in a bid to show how it was investing in the future longevity of its recent brewery acquisitions.

According to the spokesperson for the Breal Group: “Purity will be able to use to the entire Breal Brewing sales team across the country, to gain further reach for its fantastic product range and this, along with the ability to sell to the wider Breal hospitality group i.e. Vinoteca, Andrea’s Bars, and the remarkable D&D London Group.”

The deal to acquire Purity completed on the 22 December and will see the business retain jobs within the brewery.

Purity’s portfolio includes: Mad Goose IPA, Longhorn IPA and Lawless Lager and the business also operates a taproom and kitchen in Birmingham.

Speaking about the acquisition, Purity Brewing Co managing director John Hunt re-amplified the fact that the beer industry had faced “a turbulent time of late” and admitted that his business had “certainly felt the pressure of rising costs” but declared he was “incredibly pleased Breal recognises the value and uniqueness” of Purity and has “the vision to invest in securing the future of the brewery” concluding that he is “looking forward” and that the deal will mean Purity’s range of beers will continue to be brewed for “drinkers in the Midlands, London and beyond”.