Brewdog could mount $1bn resurgence, new owner says
The new owner of Brewdog has said the craft beer brand can be worth $1bn, as the firm tries to “rebuild” the brand to its former glory.
Tilray, a US-based cannabis and alcohol products firm, said it plans to pile significant investment into Brewdog to make it profitable next year and propel it towards a $1bn valuation.
Brewdog kickstarted the UK’s craft beer obsession and once commanded a £2bn valuation, but its sale last month concluded a titanic downfall mired by allegations of a “toxic” workplace and the frustrations of “equity punk” investors.
Tilray bought Brewdog for just £33m at the beginning of March, snapping up its brewing headquarters and a handful of bars – while dozens more were left to collapse.
Administrator AlixPartners failed to find a buyer for 33 of the beer firm’s UK bars so the locations closed immediately, causing 484 workers to lose their jobs.
Tilray followed up its acquisition of the UK brand by snapping up Brewdog’s US and Australian operations, as the firm took international control of the beer firm.
In its latest strategic update, Tilray said it has already “moved with speed and discipline” to “stabilise and strengthen” Brewdog.
Brewdog on ‘clear path’ to $1bn
The cannabis firm will expand Brewdog further across the UK, the US and Australia, as well as targeting new markets like the Middle East and Africa.
Tilray will also use the infrastructure and distribution platforms it already has – and that of Brewdog – to propel its own craft beer brands.
Tilray chief executive Irwin Simon said: “Tilray expects the Brewdog business to be cash flow positive in 2027 and is making targeted investments in the brand and the revitalisation and modernisation of its existing brewpub estate – areas that have seen limited investment in recent years.
“Tilray will invest in a ‘brewpub of the future’ at one of its existing locations, allowing it to analyse, assess and recommend future changes in its brewpub network.”
Simon said it wants Brewdog to return to a billion-pound valuation: “We see a clear path to rebuilding Brewdog toward its prior valuation of over $1bn.”
Brewdog’s previous £2bn valuation was in part driven by the success of its “equity punk” fundraising model, which saw thousands of everyday investors contribute £75m to the firm over seven investment rounds.
James Watt ‘heartbroken’ over sale
The craft beer firm’s sale left these investors without a return, and co-founder James Watt apologised to these “equity punks” for failing to reward their backing.
He wrote on LinkedIn following the sale: “To our equity punks: thank you for having the conviction to believe in the business when this was just two humans, one dog and a crazy idea.”
Watt also apologised to the workers who lost their jobs in the sale, saying he was “heartbroken”.
James Watt co-founded Brewdog with schoolmate Martin Dickie in 2006 but was “terminated” as a company director in March.
Watt stepped down as chief executive of the firm in 2024 but stayed on as a non-executive director.
Brewdog had been hit with allegations of a “toxic” work culture but Watt strongly denied the claims.