BrewDog scales back plans for its Brisbane brewery

Australia | We should be told: Why has BrewDog decided to scale back its Brisbane brewery from what had been previously announced? BrewDog co-founder Martin Dickie said at the recent AGM that the 25-hl plant will be operational by the end of the year.

The announcement will come as a surprise for the Queensland Government, which congratulated itself last year upon having lured the Scottish punk brewer to Brisbane by offering all kinds of perks unavailable to Aussie brewers.

In February 2018, BrewDog announced its investment, totalling AUD 30 million, which would include the construction of a “50,000 hl, 3,000 sqm brewing and canning facility”. The brewer has said on several occasions that its Australian brewery would have a 50-hl brewhouse.

Not only has BrewDog scaled back the size of the brewery, it has also delayed the project by a year. Initially, the project was to be completed by the end of 2018, and the first BrewDog beer released in the first quarter of 2019.

No reason was given during the AGM on 6 April 2019 for shrinking the Australian brewery, or for the project’s delay.

Could it be that BrewDog has funding issues? BrewDog’s crowdfunder, Equity for Punks V, launched in October 2017, was to flush in a maximum of GBP 50 million (USD 65 million), of which GBP 5 million were to go towards the Australian brewery. When the campaign closed in October 2018, only GBP 26.2 million (USD 34 million) had been raised.

Since then, BrewDog has been busy spreading its wings, including the purchase of Stone’s 100-hl brewery in Berlin, Germany, in April 2019 for an undisclosed sum.

Meanwhile, BrewDog has launched its sixth crowdfunder, this time to raise GBP 7 million (USD 9 million), with a stretch goal of GBP 50 million. The fundraiser will last for 90 days, and will close on 5 July 2019.