Wells & Young's buys Courage beers

The PMA Team

paul.charity@william-reed.co.uk

Wells & Young's Brewing Company (W&YBC) has bought the rights for the production, marketing and sales of the Courage portfolio of ale brands from Scottish & Newcastle UK (S&NUK).

A new joint-venture business will be formed, Courage Brands, in which W&YBC will take an 83% equity stake.

Courage brands include Courage Best, Courage Directors, Courage Dark Mild and Courage Light Ale.

The deal will see more than 100,000 barrels of production transfer from Tadcaster to Bedford, taking the Bedford brewery to around maximum capacity at 580,000 barrels.

W&YBC managing director Nigel McNally said: "Scottish & Newcastle has not done anything with the Courage brand for some time but it is a very stable brand. We have the best portfolio of cask ales in the country at full production - ten years ago two-thirds of what we brewed here was own-label lager."

S&NUK managing director John Dunsmore said: "Our sale of the Theakston brands back to family members in 2002 proved this type of innovative deal-structuring can be beneficial for both parties."

S&NUK will retain a 17% stake in the new holding company and will continue to sell and distribute Courage brands throughout its direct regional on-trade business.

Meanwhile, Wells & Young's Brewing Company has invested just over £1m in the Charles Wells Bombardier sponsorship of Al Murray's Happy Hour, shown on ITV on Saturday evenings at 10pm and repeated on Fridays at 11pm.

McNally said the deal was better value than the Greene King sponsorship of Ant & Dec's Saturday Takeaway.

"We think this is far better suited in terms of target market."