28.10.2011

Equity for Punks - some great reasons to invest!

Invest in BrewDog at www.brewdog.com/equityforpunks

Equity for Punks II has been a big hit so far. This innovative and alternative business model has received huge media and critical acclaim and so far over 5,000 new shareholders have invested over £1.7m into BrewDog plc. Here are 5 great reasons to join them:

1) Our  Growth

sales3_540

As you will see from the chart above, we have experienced phenomenal growth since we started our business with a small bank loan and a big mission in 2007. If we had the capacity to keep up with the demand for our beers we would be growing even faster. This is your chance to buy into our business, share in our success and benefit financially from our future growth through dividends and an increase in the value of your shareholding.

In terms of valuation, we are selling 90,000 shares which equates to 8% of the company, valuing our total company (and all group assets) currently at £26m. We are currently on track to have profits of £1m for 2011. Drinks companies such as Diago (19) and Fullers (16) trade for a P/E (price to earnings ratio) of 16-20.  On a P/E ratio of 20 and including our strong asset base, we have been valued at £26m. However Fullers is only growing at 10% and Diego has experienced negative growth over the last 3 years : BrewDog is growing at 100%+ year on year – and that is all set to continue.  So you get a company growing at 100%+ year on year at a similar pricing ratio to companies which are hardly growing at all making Equity for Punks a very healthy medium-long term investment.

Equity for Punks has been endorsed and recommended by The Times Financial Editor, Patrick Hosking, Daily Mail's City News Editor - Ben Griffiths, The Scotsman’s Business Editor Erikka Askeland and many others.

2) Our Bar Division

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Despite being launched less than 12 months ago, our bar division is already operating 3 locations with 2 sites currently being renovated and a further 5 planned for 2012. The current bars are performing very strongly financially as well as providing more locations for investors to claim their discount.  By buying into BrewDog, you are also buying into our bar division.

3) Anchor & our route into the US

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The US is currently by far the biggest and fastest growing craft beer market in the world, with over 10 million barrels of craft beer sold there in 2010. Anchor in San Francisco has been brewing since 1896 and is widely credited as starting the US craft beer revolution under the visionary Fritz Maytag.

BrewDog plc owns 5.25% of Anchor Brewers and Distillers, this stake is currently valued at over £1.8m. So by investing in BrewDog you are also buying part of America’s original craft brewery. Which is kinda cool.

A huge advantage of our partnership with Anchor is that it gives us unparallel access to the world’s best craft beer market.  Anchor and their national sales team now handle the import, sales and distribution of our beers in the US. This means we have a fantastic platform for growth and a great sales team behind our beers in this key long term market.

4) Our People

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We are fortunate enough to have Keith Greggor and Tony Foglio actively involved in managing our company . Keith and Tony have over 70 years combined experience at the absolute top level of the drinks industry and a huge history of insane success to boot. Most recently they turned Skyy Vodka into a billion dollar brand and are confident they can help James and Martin do some pretty exciting things with BrewDog.

Martin and I (James) set up BrewDog with a simple mission: to make other people as passionate about great beer as we are.  Since 2007, we have been named Scottish Young Entrepreneur of the Year 2007, Scottish Entrepreneur of the Year 2008 bagged loads more business awards as well as 2 gold medals at the last 2 World Beer Cups.  We also like wearing hats and have never raised our voice to a woman or punished an animal with a stick.

From our management team which combines youth and experience, to our rock ‘n roll brewers and our evangelically passionate bar scamps, the team we have is a key asset of our company and a great reason to invest.

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5) The Discount and AGM!

The Equity Punks BrewDay - May 2011

By investing in BrewDog you entitle yourself to a 20% lifetime discount on our online shop and 5% lifetime discount in all of our BrewDog Bars. In addition you get an invitation to our (soon to be legendary) AGM and a very cool shareholder card.

The average purchase on our online shop is £50 – and it does not take long to get a 100% return on your investment.  And the discount is just a little bonus we want to give our shareholders.

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Some More Reasons

And as if all that wasn’t enough, here are some other good reasons to invest:

  • Exclusive first options on all our special and limited edition beers
  • Being able to participate in our annual by shareholders, for shareholders beer.
  • Having your say in how the company is run
  • Sell and trade your shares on www.equitypunks.com or at a potential later listing
  • A welcome pack with some killer, shareholder only BrewDog merchandise including your ID card.
  • Literally become richer with every BrewDog beer you drink

In addition, those investing over £950 will get a free 12 month membership to our Abstrakt Addict Club, which is worth £135. This will entitle you to 3 bottles of the next 4 editions of our acclaimed Abstrakt series (www.abstrakt.com) delivered direct to their door.

If you have any questions, just drop me an email – james@brewdog.com

Invest in BrewDog at www.brewdog.com/equityforpunks

Posted in - brewdog-news

Comments

  • Now then Mark Brewdog, I never spoke about New Romantics as I was never into that scene. You're a good bit younger than me so if I wasn't old enough for punk in 1977 then I am sure you weren't even born then!! I did enjoy your company that afternoon in the pub, even though you were speaking keech! Hopefully when I am back seeing the family next Easter I can pop into Brewdog Aberdeen again and have another blether and hopefully this time I winna be hurrying up to catch the bus home as it is a long walk back to Strichen!! I may even drop off a picture of me with Glen Matlock which you can keep behind the bar, as that will give you something to speak about!!! Seriously though, punk's not dead and I'll hopefully share a shandy or two with you in 2012. By the way, do you know who Wattie Buchan is???
    arobertson31.10.2011
  • How long does it usually take to get your membership card?
    HembryggarbloggenVictoria31.10.2011
  • @aronrobertson hello there i remember fondly our conversation especially you’re reminiscing about your new romantic days before your discovery (sadly 2 years too late) of punk rock. always a pleasure to debate music with such a social chameleon willing to change with every fad that involves dressing up and being cool, on yersel big man :)
    mark brewdog31.10.2011
  • Grahamf4, nice to hear from you. Aye, I was only 10 years old in 1979 but "frigging in the rigging" changed my life forever (just ask my mum and dad!) Bands such as UK Subs, Exploited, Discharge, Anti-Nowhere League, GBH etc etc (not to mention the Oi! movement) still form a large part of my core punk record collection but I would love to join your IPA movement. It would have to be the hardcore version though. PS - I've also seen the Pistols 3 times in the last 15 years, does that get me any extra brownie points or can i volunteer to be the DJ at the next AGM bash?? I BELIEVE!!! (circa Wattie Buchan, 1981)
    arobertson30.10.2011
  • @James

    Will do, Thanks
    PeleC30.10.2011
  • Great. already invested and going to invest more.

    Walked past the Camden site yesterday - great to see the work progressing!

    Mike T30.10.2011
  • PeleC,

    send me an email james@brewdog.com and I will look into your membership card. Thousands have been sent out so far, it is an automated system which sometimes glitches, but if you drop me an email, I will resolve it promptly.

    Have a great day :)

    BrewDog James30.10.2011
  • Ta James, just keeping you on your toes! (don't think Camden and Manchester are "trading by October 2011" though, as stated on the graphic...) Another reason to invest is the purchase of the new brewery site, which has plenty of room for future expansion. I also like the idea of growing Brewdog Barley on the original new brewery site!
    Fanboy puppy lover30.10.2011
  • @arobertson

    "I am sure Mark knows about his music however having been into punk since 1979 I take an awfol lot of convincing!"

    Mr Robertson, I assume that you are referring to the post-punk scene or the New Wave of American bands. Here at the Institution of Punk Awareness (IPA), the demise of punk in the UK was at around 18.12 on a damp Sunday evening in the latter part of 1977. We here are all appreciators of fine clackety-bang music and what came after said damp Sunday evening. To name some of that era's seminal bands post "77 e.g. Magazine, The Scars, Echo and the Bunnymen, Wire, ATV and to label them as Punk would be a misnomer. We here at the Institute would argue that the briefly lived movement known as Punk spawned that greater DIY movement of being able to create great music on the cheap and independent of the major record labels at the time. Of this I am sure you are aware. This wonderful spawning ground has given you, me and tonnes of others the best starting point in popular culture careers we could ask for. But we must remember that Steve Jones' guitar work was due very much to Chuck Berry. lets not forget Joe Strummer in the 101s. We should not get too precious about our music or the perceived authority our own knowledge allegedly gives us. You and Mark should best make up with a visit to the Institute of Punk Awareness (IPA) and begin to trawl through the archives slaking your thirst and congratulating each other on your passion and enthusiasm for great music and great beer.

    Take care and remember: "Shot, by both sides. They must have come to a secret understanding"
    Grahamf430.10.2011
  • I bought 8 shares when they first came out.

    I was considering buying more however since then I've been waiting 7 weeks for my membership card (told me it took about 2 weeks from me requesting it)

    I also placed a shop order on the 5th of October, which has not been processed, I've sent several emails regarding this and not received a reply.

    I am now extremely worried about my investment and I cant justify investing any more money until these issues are resolved.

    Sorry
    PeleC30.10.2011
  • Apology accepted AB, i hope sometime in the not to distant future someone can help you out in your quest in the swinging gonads department, alas i don't swing that way but good luck & take care : )
    Mr Happy30.10.2011
  • Mr Happy - make it obvious then and direct your dig at the intended person whom I believe is JB and not AB! My care in the community ensures that at least I can read people's handles properly.......and if it means anything I apologise for asking you to do something quite nice and sensual to my gonads!
    arobertson29.10.2011
  • f.a.o. arobertson, my dig was aimed at AB, not you, but thanks for your extremely funny response, i'm glad care in the community works : )
    mr happy29.10.2011
  • Thanks James, I am sure Mark knows about his music however having been into punk since 1979 I take an awfol lot of convincing! I hope that 2012 is as good as year for the company as 2011 has been. Finally, to Mr Happy - piss off yourself and kissmaswingers.
    arobertson29.10.2011
  • Seconded! Go James and BrewDog.


    That is one of the great things about the company and one of the reasons I invested £950.

    Roll on the AGM

    Bex29.10.2011
  • Great to get quick, honest and insightful responses direct from the MD of the company at just past midnight on the weekend!

    Another great reason to invest - thanks James!

    (and I think he is officially on holiday now too - talk about dedication)
    Adrian29.10.2011
  • @ arobertson - Mark has some interesting tastes in music and likes a discussion about it!

    The share trading platform from 2013 will be electronic and on www.equitypunks.com

    @ Fanboy Puppy Lover - the Newcastle bar will be added as soon as it is opened! the work at Camden started this week!

    James, BrewDog29.10.2011
  • @JB

    1) This will all happen automatically once the share offer closes. All email addresses will go on a database and you will be notified. As EFP I investors can vouch - investors always get first option.

    2)On the www.euitypunks.com forum and at the AGM and shareholder meetings. Your login details for the forum will be emailed to you soon

    3) This will be live, as outlined in all the documents, by January 2013

    4) This will be sent out when the share offer closes. So we can send them all out together. You will be sent an email next week on how to apply for your discount card. Depending on when they invested, many shareholders already have these.

    5) With every beer you drink, BrewDog grows as a business, thus adding value to the company and ultimately your investment :)

    Let me know if you have any more questions, I will be happy to answer them.

    James, BrewDog29.10.2011
  • would anyone know when ' hello my name is ingrid will be back in stock ? loving the beer : )
    Mr Sad28.10.2011
  • some fowk like nothing better than moaning, if you don't enjoy the beer or the company.........piss off : )
    Mr Happy28.10.2011
  • JB makes valid points

    guess we'll just have to be patient for discount codes, I've had nothing

    same for shareholder merch
    MikeC28.10.2011
  • JB, you raise some valid points. I bought 12 (now 120) shares in 2009/10 and it was printed in the prospectus that shares could only be sold after 31 Dec 2012 so it will be interesting to see how that progresses. My sister is friendly with the wife of the Brewdog lawyer up in NE Scotland as they attend the same kiddies club in Strichen, and let's not forget that James Watt himself trained as a solicitor so I would like to think that what they have said is factually and legally correct. I've had my differences of opinion with the 2 lads from Brewdog and with one of the barmen in the Aberdeen pub who stated to me that "punk was dead, it only lasted for around 2 years" and tried to convince me that some 1950s music from the USA was in fact punk....well, he got short change as he obviously didna have a clue what he was speaking about and we all know that Brewdog are as punk as Elvis Costello or Blondie! It's just a marketing ploy to distinguish themselves from the other similar players in the market. However, I'm not all negative. I am in this game with Brewdog for the medium term at least and have no intention of selling my shares come 1 Jan 2013 as I believe in the company, their beer and their prospects. EFP is just as much about getting a return on your investment as it is about liking their beer. I do both of these. I've now got 200 shares in total and would like to think that (sooner rather than later) dividends will be paid from profits and everyone will be happy. Can I see some huge drinks company coming in and making an offer for Brewdog in the future? Yes I can. The new brewery is an exciting proposition and I truly hope that, year on year, growth can be maintained. Brewdog rely on controversy to be different and this usually works in their favour (however their spats with CAMRA are getting tediously boring as they should be working together and not dissing each other). So let us see what happens over the next year or so as I certainly want my financial investment to succeed.
    arobertson28.10.2011
  • The following items are copied directly from the Equity for Punks prospectus. Note: only New B shares are being offered in this issue.

    "There is as yet no recognised market for the New B shares to be issued by
    the Company. Accordingly it may be difficult even after 31 December 2012 for investors to
    sell their shares at what they consider to be a reasonable price and in some circumstances it
    may be difficult to sell them at any price or otherwise realise their investment."

    "The holders of the A Shares will at all times be able to carry any vote to be made at a general
    meeting in relation to general commercial matters."

    How do readers feel this stacks with the blog invitation to invest? Remember it's your money.
    What Ho!28.10.2011
  • So let's have a look at 'Some More Reasons' to invest.

    1. Exclusive first options on all our special and limited edition beers
    Comment: Not true. I'm a shareholder. Seen AB:07 in my local but not offered anything by BrewDog.

    2. Having your say in how the company is run.
    Comment: Please explain how our 'say' is heard and built into policy.

    3. Sell and trade your shares on www.equitypunks.com.
    Comment: I've checked the site and see no sharetrade option. Please show (with link) where it is.

    4. A welcome pack with some killer, shareholder only BrewDog merchandise including your ID card.
    Comment: Still waiting for mine well after receiving the share certificate. Apparently there are more months to wait.

    5. Literally become richer with every BrewDog beer you drink
    Comment: If beer costs say £3.20 a pint and I get a 5% discount I am poorer by £3.04. Intrigued to know how you claim I will be richer.

    Look forward to some answers via this blog. 'Til then it all goes into the 'Spin' box.
    JB28.10.2011
  • The Brewdog bar map image needs updating doesn't it? No Newcastle? Potential new investors need accurate up to date information...
    Fanboy puppy lover28.10.2011

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