Punk Beer taps Private Equity

BrewDog announces PE house cash injection from TSG

via Brewdog, originally published April 10, 2017

BrewDog announced an investment deal with TSG Consumer Partners including a £100m investment into the business, ramping up the company's current five-year execution plan and providing 'some' liquidity to early investors.

At the end of it, TSG will own ~22% of BrewDog, with early investors and large shareholders cashing out [with the total consideration near £213m, valuing BrewDog at almost **£1billon.**

Equity Punks will be able to sell up to 15% of their shares (or a maximum of 40 shares) or alternatively take a six-pack as a special one-off 'toast' to the deal.

Now some people are very bleak about the deal and specifically the marketing side from CrowdCube -regarding back patting and crowdfunding misrepresentations and the actual deal metrics used.

However, from our side, it does appear that our suspicions regarding the cash-hungry BrewDog and the Bond issue late last year could be correct but this cash infusion will surely steady the ship.

Either way, we are happy the deal does not give TSG control but concede that the guaranteed returns of 18% p.a. agreed to at this high valuation level are going to be a tough feat to achieve before equity punks see additional upside.

 


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That image is just a test of my cms backend :)

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via relte_stephen 4 months ago

and that was a test comment. this is a test reply.

via Stephen 9 months, 1 week ago

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