BrewDog launches Equity for Punks Five with £50m crowdfunding goal

Scottish craft brewery and bar-chain owner BrewDog has launched a fifth round of its Equity for Punks crowdfunding, with the aim of raising up to £50m.

Investors can purchase shares in the company for a price of £23.75 per share, with a minimum investment of two shares for £47.50.

The campaign will run for three months, until 15 January, and an initial target of £10m has been set. This money will be used to build a new brewhouse at BrewDog’s Ellon brewery, as well as helping to develop its first sour beer facility, launching later this year.

Any funds raised above the initial target up to a maximum of £50m will support accelerated growth across the global business, including pouring £10m into opening a new brewery in Asia, and £5m to opening one in Australia.

Trojan Dog paraded around London

Some £3m would also be invested into UK BrewDog bars, with plans to open 15 new bars in 2018, including four brewpub locations.

The launch of Equity for Punks Five was marked in typical BrewDog fashion, with the brewery parading a giant ‘Trojan dog’ filled with its flagship Punk IPA beer around London.

Since launching in 2009, crowdfunding schemes have raised BrewDog £41m in funds to support its investment and growth. The brewery now employs 800 people around the globe, has 47 UK and international bars and two breweries, in Aberdeenshire, east Scotland, and Columbus, Ohio, USA.

Speaking about the latest round of crowdfunding, BrewDog co founder James Watt said: “The latest round of Equity for Punks will make us the biggest equity crowdfunded business of all time, having already raised over £41m from a community of tens of thousands of misfits, forging a new kind of business model founded on craft, community and conscience.

“Our Equity Punk investors haven’t just supported the growth of an organisation now valued at over £1bn, they have inspired the creation of a model that will give away 20% of its profits to its team and charitable causes via our pioneering ‘Unicorn Fund’.”

'A global community with purpose'

Watt continued: “Investing into BrewDog isn’t just about seeing the value of your shares increase much faster than they would on the FTSE, it's about joining a global community with a purpose.

“From receiving awesome money-can’t-buy benefits to being part of the biggest community-fuelled crowdfunded charity contribution in history, being an Equity Punk is about being part of something with the potential to change the world.”

Last month, The Morning Advertiser reported BrewDog needed to fill a £90m gap in funding requirements to meet its aim of becoming a £5bn company in the next five years.

Watt claimed the brewery needed a total of £180m to fund ongoing and planned future projects - £90m of this funding will come from the investment made in the brewery by private equity firm TSG earlier this year.

Equity For Punks Four fell well short of its £25m target last year, raising a total of £19m.