Over 100 jobs will be lost after a Scottish beer maker was saved from administration by the owner of Tennent’s Lager. A notice announcing that Innis & Gunn has appointed administrators has just been published on The London Gazette, but the C&C Group swooped in with a rescue deal.
The Irish drinks manufacturer, which also owns Tennent’s, has bought parts of the Scottish brand as part of a pre-packaged sale. It’s been reported that the deal was worth £4.5 million. Innis & Gunn was founded by brewer Dougal Gunn Sharp in 2003. It currently operates its main brewery in Perth, alongside tap rooms in Glasgow and Edinburgh, with the latter winning the UK Casual Dining Concept Award in 2016. Now exported to 35 countries, it has become one of Scotland’s most popular beer brands. Its pioneering drinks that have been brewed using unique barrel finishes led to the creation of the brand’s « The Original », which remains its most popular to date. However, it has been reported that the firm has struggled in the past few months. According to a statement released today, administrators said the brand had been hit by declining sales and rising cost pressures.
While a few employees have been retained to help oversee the closure of the business and its taprooms, it has been confirmed that redundancies « will need to be made ». As of writing, the number of jobs affected has not been confirmed, but reports suggest the brand employs over 100 people.
The full statement read: « The Group, like many across the sector, has faced a number of challenges in recent months. The Administrators note that a combination of factors, including a decline in consumer spending and rising cost pressures, has resulted in significant margin and liquidity pressure, meaning the business could no longer continue to trade.
« It is with deep regret that redundancies will need to be made. The Administrators would like to thank all the employees of the Companies for their hard work.
« We will continue to support those affected at this difficult time. A small number of employees have been retained to support the orderly closure of the brewery business and the taprooms. »
Following « liquidity pressure », which means the brand can « no longer continue to trade », it appointed administrators who sold parts of the business to C&C Group. It will join a roster of other brands owned by the drinks manufacturer, such as Bulmers, Magners, and Tennent’s.
The drinks firm has previously been a minority shareholder and brewing partner for Innis & Gunn for years. A notice on the C&C Group website advises that its acquisition of Innis & Gunn « is expected to present a very low execution risk. »
Roger White, chief executive officer, commented: « We have worked with Innis & Gunn for many years and whilst it’s under difficult circumstances, we are delighted to bring the brand fully into our portfolio. This is a compelling and highly synergistic opportunity to save a well-loved brand for which we currently brew most of the product.
« Our existing brewing and route-to-market platform allows us to integrate the brand effectively and quickly, supporting the ongoing supply of products to customers and consumers. We expect this Acquisition to make a small positive contribution to our overall financial performance in FY27. »
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