Marston’s exits brewing and sells to Carlsberg

United Kingdom | Pub group and brewer Marston's has left the brewing industry after agreeing to sell its 40 percent stake in its UK joint venture with Carlsberg for GBP 206 million (USD 262 million).

The firm, which has brewed beer in Wolverhampton since 1875, announced on 8 July, that it sold its stake in Carlsberg Marston’s (CMBC), a joint venture valued at GBP 780 million, to Carlsberg.

Marston’s CEO Justin Platt said the sale to the Danish brewing company would “significantly” reduce Marston's debt. At the end of its last quarter (30 March 2024), Marston’s debt stood at GBP 1.16 billion (USD 1.46 billion).

The group will now focus on running about 1,370 pubs, which it operates across England, Scotland, and Wales.

Marston's and Carlsberg announced a merger in May 2020 to form CMBC, in a move which involved Marston's six breweries and distribution depots, but not its pubs.

However, Marston’s said it would continue its “strong partnership” with CMBC, through the long-term brand distribution agreement which remains in place.

“Crucially, it allows us to become a pure play hospitality business and focus on what we do best – namely, giving our guests amazing pub experiences,” Mr Platt commented. The Daily Telegraph, a newspaper, sneered: “One wonders when Marston’s boss Justin Platt last set foot in one of its pubs”, implying that his guests enjoy anything but an amazing experience.

The Daily Telegraph added: “Marston’s exit from brewing will leave the real ale aficionados at Campaign for Real Ale (CAMRA) weeping into their tankards. In abandoning its [Marston’s] roots … Carlsberg, a company best known for its forgettable lager, will become the biggest cask ale producer in Britain.”