Tennent’s owner takes minority stake in craft brewer
C&C already produces some of Innis & Gunn’s beers at its Wellpark brewery and the new deal will continue that arrangement in addition to C&C assuming responsibility for sales of Innis & Gunn products to the independent on-trade. Innis & Gunn will continue to sell its products directly to national pub chains and the off-trade. C&C will also take an 8% equity stake of Innis & Gunn, with the option of additional shares based on meeting performance targets.
Innis & Gunn founder Dougal Sharp said: “At a time when we are seeing consumer demand for our beers increasing, in fact becoming the sixth largest Scottish drinks brand in our home market in 2020, this is a key next step in our growth strategy.
“C&C’s strength in the on-trade across the whole of the UK and Ireland, and our long-term relationship, means we have solid foundations from which to build. C&C is the right partner with the right platform to help us accelerate our growth into these channels and seek to replicate the success the brand has enjoyed in Scotland. The partnership will also create immediate synergies enabling us to redirect additional capital behind marketing and new product development.
“We are retaining our independence and gaining a new distribution partner which can help us to introduce our brand to a much wider audience.”
Tennent’s managing director, Kenny Gray, said Innis & Gunn’s product range “will be a strong and complementary addition which no doubt will be well received by our customers who are increasingly seeking an extended range”.
“As an equity partner our interests are naturally aligned to grow the brand,” said Gray.
“To that end, we will use our platforms to gain access to the larger UK and Irish markets as well as seeking to collaborate in other, new international markets where we see opportunities.”