Innis & Gunn: Job losses and closures as Scottish craft brewer taken over by Tennent's owners
Administrators warn redundancies ‘need to be made’
One of Scotland’s best known craft brewers has been taken over by the drinks giant behind brands including Tennent’s and Magners in a multimillion pound deal.
The lossmaking Innis & Gunn, the Edinburgh-based firm behind a wide range of ales, has been acquired by the Dublin-based C&C Group in a surprise agreement worth £4.5 million.
It marks the second sale of a prominent Scottish craft beer firm in the space of just a week, following the collapse and rescue deal involving BrewDog. With the latter firm being taken over by Tilray, a US-based beverage and cannabis company, it means neither brand is under Scottish ownership.
The joint administrators who sold Innis & Gunn’s assets said it was with “deep regret” that redundancies will have to be made following the sale, with the firm’s brewery and three taprooms closed. They added that that the firm was no longer able to trade due a range of factors, including rising costs and a decline in consumer spending.
Like BrewDog, Innis & Gunn raised millions of points via multiple equity crowdfunding campaigns. It is unclear if any of those small investors will see a return in the wake of the sale.
As this stage, it is not clear what the scale impact will be on the workforce at Innis & Gunn, but it is understood the vast majority were employed at the brewery in Perth and its three taprooms in Edinburgh and Glasgow. The joint administrators, FTI Consulting, did not specify the exact number of redundancies that will need to be made. Under the terms of the deal with C&C, it was only the Innis & Gunn brand and global intellectual property that was acquired.
According to the accounts for Innis & Gunn’s parent company, the single biggest shareholder was Dougal Sharp, who founded the firm in 2003 and held more than 35 million ordinary ‘A’ shares.
A regulatory announcement issued by C&C said it had purchased Innis & Gunn from its administrators. Five years ago, C&C, which also owns drinks brands such as Bulmers, Drygate, and Menabrea, acquired an eight per cent equity stake in Innis & Gunn as part of a partnership agreement.
However, the ties between the two companies date back to a manufacturing relationship struck in 2010, which saw Innis & Gunn’s beers produced and packaged at C&C’s Wellpark Brewery in Glasgow, as well as at its own brewery in Perth.
The most recent annual accounts for Innis & Gunn described 2024/25 as a year of “continued progress” against the backdrop of a “persistently difficult trading environment.”
Its parent firm’s turnover fell from nearly £24.1m in 2024 to £23.6m last year, although it was able to reduce its operating losses from almost £1.6m to £747,000 over the same period.
C&C said the acquisition will see the brand integrated into its existing operational, commercial and supply chain infrastructure.
It said that because the company already brewed much of the Innis & Gunn brand’s products, its board expected the transition to be completed quickly with “minimal disruption to customers or distribution.”
C&C said the deal broadens its branded drinks portfolio by adding an established premium beer brand while allowing the company to leverage its existing production capability and routes to market.
Roger White, chief executive of C&C group, said: “We have worked with Innis & Gunn for many years and whilst it's under difficult circumstances, we are delighted to bring the brand fully into our portfolio. This is a compelling and highly synergistic opportunity to save a well-loved brand for which we currently brew most of the product.
“Our existing brewing and route-to-market platform allows us to integrate the brand effectively and quickly, supporting the ongoing supply of products to customers and consumers. We expect this acquisition to make a small positive contribution to our overall financial performance in the financial year 2027.”
Mr Sharp and FTI Consulting have been approached for comment.
In a statement, Alex Beagley, managing director of FTI Consulting, set out how the brand assets of the Innis & Gunn group - comprising Innis & Gunn Holdings Limited, the Innis & Gunn Brewing Company Limited and Innis and Gunn Hospitality Group - had been sold.
“Imediately upon their appointment, the administrators sold certain assets to C&C Group as part of a pre-packaged sale,” he explained. “The group, like many across the sector, has faced a number of challenges in recent months. The administrators note that a combination of factors including a decline in consumer spending and rising cost pressures has resulted in significant margin and liquidity pressure that has meant the business could no longer continue to trade.”
He added: “It is with deep regret that redundancies will need to be made. The administrators would like to thank all the employees of the companies for their hard work. We will continue to support those affected at this difficult time. A small number of employees have been retained to support the orderly closure of the brewery business and the taprooms.”
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