No returns to investors... unless 'hop dividend' discounts on beer count.
Posted by Relte on July 12, 2019 |
Hop Stuff Brewery Limited and each of its subsidiaries entered into administration on Friday 12th July with the appointment of Neil Gostelow and Will Wright of KPMG as Joint Administrators. Zero returns to investors... i.e. poof.
Meh. I feel like this could have been avoided if the company did not expand that aggressively but it was expected... based on the last update from James here. So basically, crowdfunding investors just subsidised some nice kit for Molson(which I assume they got at a bargain) plus an operating business and brand they can grow. But hey at least investors can be part of a " Hop Stuff Collective" discounts, tastings... 0_o
On a postive note at least folks got to keep their jobs, so cheers for Molson and those that made that part of the deal.
Also...cheers to my monies. Was up on paper for a while.
Email from James;
Dear investors, friends and ambassadors,
As you know Hop Stuff Brewery has been experiencing financial difficulties in the recent months. Unfortunately, due to the cash position of the business weighing heavily on the business, Hop Stuff Brewery Limited and each of its subsidiaries entered into administration on Friday 12th July with the appointment of Neil Gostelow and Will Wright of KPMG as Joint Administrators.
I’m pleased to say that we were able to secure an asset sale to Molson Coors Brewing Company as part of a pre-packaged administration process, which includes our brewery, brand and taprooms and the transfer of all staff to Molson Coors. Due to our financial position, this was the best possible option for our people and the future of our beers, or we faced the whole business going into liquidation. Unfortunately, a full sale of the shareholding of the Company was commercially unviable and so I truly regret to have to confirm that there will be no returns to investors.
I am so sorry. I wanted so much to turn the passion you have for Hop Stuff Brewery into a financial win for you and I am absolutely gutted that hasn’t happened.
I want to thank you so much for your belief in us. You have helped to build this business and I want to make sure that you continue to feel a part of it. For my part, I am absolutely committed to protecting the ethos of Hop Stuff and our brands and I am completely confident that Molson Coors share that commitment.
In Molson Coors we’ve found a partner who believes wholeheartedly that craft beer should be accessible, inclusive and of exceptionally high and consistent quality. With their support and guidance, we are going to be able to start brewing again and be able to supply our customers in London. Hop Stuff beers won’t disappear.
I would completely understand if you wanted to wash your hands of us, but I very much hope that you don’t. If you’d like to remain a part of our journey, together with Molson Coors, we will be launching a Hop Stuff Collective for original investors who would like to stay involved. Members of the Collective will receive exclusive access to key events throughout the year, a product subscription, discounts and be invited to be part of New Product Development through quarterly tastings and innovation sessions at the brewery.
While not the hoped-for outcome, I hope you agree the Hop Stuff Collective will be a tribute to the important role you have played in our business and a unique opportunity to help us build on that legacy.
If you have a query related to the administration process, please email HopStuffBreweryandTaprooms@kpmg.co.uk
Yours, forever grateful.