BrewDog raises £1m in 24 hours

Picture: Neil Hanna
Picture: Neil Hanna
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PUBLICITY-savvy Scottish beer company BrewDog raised £1 million towards its latest expansion plans in the first day of its latest “unconventional” cash call.

The brewer launched a third round of its pioneering “Equity for Punks” crowdfunding scheme, offering fans of the brand 42,000 shares at £95 each.

Ellon-based BrewDog wants to raise £4m and plans to use the funds to further expand its new brewery and launch a chain of bottle shops across the UK.

Founders Martin Dickie and James Watt, who drew in £2.2m in their last fundraising in 2011, also plan to spend £1m opening a London “beer academy” early next year, at which the public will be able to learn about the brewing process alongside professionals.

A further £1m would be earmarked for American expansion next year, with the most-favoured location for one of its nascent chain of international bars being either New York or San Francisco.

The Equity for Punks model gives traditional equity investing a customer-friendly twist, as investors are given a lifetime 5 per cent discount in BrewDog bars and up to 20 per cent off on its online shop, depending on how much they invest.

Equity for Punks members are also to be invited to attend the company’s notorious annual meeting – the latest of which took place on Saturday and included punk rock bands and beer tastings.

However, those who bought in at previous calls have also been rewarded in more traditional fashion – the group says it has achieved an average annual growth of 167 per cent over the past five years and the company is worth three times what it was during the last Equity for Punks scheme in 2011.

Previous cash calls funded the opening of several bars.

The fundraising scheme was launched last week amid a flurry of publicity, including the use of a tank of the streets of London.