BrewDog to axe distilling business

United Kingdom | Scottish brewer and bar operator BrewDog will close down its distilling arm after ten years in operation, and stop the production of its spirits brands, including Lonewolf Gin, Abstrakt Vodka, Duo Rum, Casa Rayos Tequila and Ron Bodega rum, over the coming months, media reported on 27 January. The canned cocktail brand Wonderland, however, will continue to be produced by a third party. BrewDog did not confirm how many jobs will be impacted.

It is understood that the future of the distillery, which was built in Ellon, Aberdeenshire, in 2015, will be reviewed at a later date. Insiders estimate that the distillery’s capacity is below 500,000 litres/year, with a 10,000 litre wash still, which makes it a reasonably big craft distillery. By the looks of it (there is a video on youtube) it is a very unusual and complex distillery, with a lauter tun and mash filter, wort sterilisation before fermentation, three whisky pot stills, and column stills. The kit alone would have been very expensive for a craft distillery.

Apart from the various alcohols, the distillery was expected to produce around 150,000 litres of pure alcohol for its Scotch whisky in 2025. The release of its first single malt was scheduled for 2026. There is no information how many whisky casks are maturing in its own warehouse next to the distillery and what will become of them.

The old guard has left

The move coincides with recent rumours that BrewDog’s founder James Watt is planning to buy back control of the business. Mr Watt stepped down as CEO in 2024 and moved to a newly-created position of “captain and co-founder”, after several controversies, including alleged inappropriate behaviour and abuse of power. Mr Watt has denied all accusations.

The upcoming closure also comes just three months after the departure of Steven Kersley, Managing Director of BrewDog Distilling, who helped establish the spirits arm a decade ago. Mr Kersley’s resignation followed the exit of BrewDog co-founder and BrewDog Distilling CEO Martin Dickie in August 2025. Mr Dickie has since focused on his medicinal cannabis-producing firm Waterside Pharmaceuticals.

Between 2020 and 2024, BrewDog posted pre-tax losses totalling GBP 148 million (USD 204 million).