BrewDog’s owners have announced the end of their partnership with the craft beer pioneer, marking a significant change in the industry.
BrewDog, the leading independent craft brewer behind brands including Punk IPA and Elvis Juice, has called in consultants to monitor a sale that could lead to the breakup of one of Scotland’s best-known businesses.
Sky News has learnt that BrewDog’s board has appointed restructuring specialists, AlixPartners, to solicit interest from potential bidders.
Sources said AlixPartners has begun scouting potential suitors in the past few days and is understood to have set an accelerated timeline for indicative offers.
A deal could leave many of BrewDog’s approximately 220,000 individual shareholders, who became investors through its ‘Equity for Punks’ scheme, with very low returns from their average outlay of around £400.
However, others made significant returns on their investments by selling their stock in previous funding rounds.
The company raised a total of approximately £75 million from the sale of shares to customers, providing them with perks such as discounts and early access to new craft beers.
Its first such crowdfunding took place in 2009; the most recent in 2021.
The sale process coincides with challenging conditions for independent brewers, as the Black Sheep group recently underwent pre-pack administration.
Established in 2007, BrewDog earned a reputation for innovation. Founders James Watt and Martin Dickie are often embroiled in controversy over the brand’s marketing campaigns.
Mr Watt, who is one of BrewDog’s largest shareholders, is now reportedly considering a bid to buy back the company, with sources indicating he is seeking support from financial backers.
An insider said the company would now be worth much less than its once-proposed valuation of £2 billion, raising hopes among investors that it would eventually list on the stock exchange.
In 2017, TSG Consumer Partners took a 21% stake in BrewDog in a deal that valued it at a unicorn valuation of at least $1 billion.
However, since then, BrewDog has faced ever-increasing losses, closed down several times and laid off large portions of its workforce.
Last year, the company lost £37m on a turnover of £357m.
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BrewDog trades in 72 bars globally, including in London and Las Vegas.
It employs approximately 1,400 people and claims a 4% share of the UK off-trade grocery market by value.
The company produces five of the UK’s top eight craft beer brands, including Hazy Jane, Wingman and Lost.
Its four breweries – in Ellon, Scotland, as well as sites in the US, Australia and Germany – could be sold separately from the rest of the group, depending on the progress of the process run by AlixPartners.
Five years ago, BrewDog was shaken by the allegations Dozens of former employees said it operated a “culture of fear”.
Mr Watt steps down as chief executive in 2024, and a source said this weekend that BrewDog’s appearance on the recent list of reputable employers underlines a change in its culture.
“As many businesses are operating in a challenging economic environment and continue to face widespread headwinds, we regularly review our options with a focus on the long-term strength and sustainability of the company.
Following a year of decisive action in 2025, which focused on cost and operational efficiencies, we have appointed AlixPartners to support a structured and competitive process to evaluate the next phase of investment for the business.
“This is a deliberate and disciplined move with a focus on strengthening the long-term future of the BrewDog brand and its operations.”
The company said BrewDog “remains the global leader in craft beer: a world-class consumer brand, the No. BrewDog is the No. 1 independent brewer in the UK and has a highly engaged global community.
Although we have not made any final decisions, we believe this combination will attract substantial interest.
“Our breweries, bars and venues will continue to operate as normal.
“We will not comment on any further speculation.”
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