AN INVESTMENT by a US private equity firm has boosted the value of craft beer company BrewDog to £1bn.
TSG Consumer Partners has acquired about 23 per cent of the company for £213m, with funds to be used to continue expansion plans.
Co-founders James Watt and Martin Dickie set up BrewDog when they were 24 in response to the ‘stuffy ales’ which dominated the UK drinks market.
A series of crowd-funding rounds previously helped the business grow and investors voted to approve the TSG investment.
The new funding will see earlier investors able to cash in some of their shares.
BrewDog said with a £1bn valuation, shares purchased in its first crowd-funder ‘Equity for Punks I’ in February 2010 are now worth 2,765 per cent of their original value.
Those who invested in Equity for Punks IV, which closed in April 2016, have seen the value of their shareholding increase by 177 per cent in one year.
Mr Watt said: ‘We are growing mega-fast at the moment. We have broken the record for most consecutive years on the Sunday Times Fast Track 100 and in 2017 we are forecasting our growth will be even faster.
‘This deal will enable us to take our business, and our community’s investment in BrewDog, to the next level.’
TSG Consumer Partners was founded in 1987 and has invested in brands such as vitaminwater and thinkThin.
Managing director Blythe Jack said: ‘We look forward to working with BrewDog as it continues to innovate, expand and harness a unique rebellious energy.’