Hundreds of people have been made redundant and dozens of bars have closed after craft beer firm Brewdog went into administration.
US beverage and medical cannabis company Tilray has bought the company’s UK brewing operations, brand and 11 pubs in a £33m deal.
Administrators said the sale had preserved 733 jobs – but that 484 jobs had been lost and 38 bars had closed after they were not included in the rescue deal.
And they said no equity holders – including those who invested in the brewer’s Equity for Punks scheme – would get any return from the deal.
Aberdeenshire-based Brewdog announced last month that consultants AlixPartners had been brought in after the firm failed to make a profit in recent years. On Monday, they were appointed as administrators.
AlixPartners said there had been “significant interest” in the company but that it had not received any offer which would have preserved Brewdog in its entirety.
“Regrettably, a total of 38 bars in the UK will close with immediate effect, leading to 484 redundancies,” said the administrators.
Unite, which represents thousands of hospitality workers, said it was was a “devastating day” and pledged to secure “legal and financial justice” for its members.
Sharon Graham, the union’s general secretary, added: “BrewDog workers built this brand. They deserved respect. Instead, they were treated as disposable pawns.”
Bryan Simpson, Unite’s national lead for hospitality, described the conduct of senior management as “nothing short of a national disgrace”.
He added: “For the CEO to tell workers that they were redundant with immediate effect, on a conference call with only 25 minutes notice, has echoes of P&O and is deplorable.”
Tilray will take control of Brewdog facilities including its brewery in Ellon, Aberdeenshire, and The Hop Hub, a national distribution centre in Motherwell, Lanarkshire.
BrewDog’s 18 franchise bars in the UK and internationally will continue to operate.
Tilray, which was founded in Canada but is now headquartered in New York, already owns several US craft beer brands.
It described the deal as a significant opportunity for growth in the UK and international markets.
The two firms are still negotiating for a deal on Brewdog’s assets in the United States and Australia.
