United Kingdom

Tilray Buys BrewDog for £33M, Cuts 484 Jobs

Is Tilray's BrewDog acquisition a strategic win for craft beer or a corporate betrayal of workers?

Published MAR 3

Tilray Buys BrewDog for £33M, Cuts 484 Jobs

Story

Above: A BrewDog bar in Clerkenwell, London, on Feb. 16. Image credit: Vuk Valcic/SOPA Images/LightRocket/Getty Images

The Facts

Several hundred workers in the U.K. have lost their jobs, and many bars have closed after Tilray Brands, a U.S. cannabis and beverage company, acquired BrewDog's U.K. operations on Monday.
The Times (UK)
BBC News
Under the terms of the transaction, Tilray purchased "certain highly strategic assets of BrewDog's global platform," including its brand, intellectual property, U.K. breweries and 11 pubs, for £33 million (roughly $44 million). Separately, Tilray is also negotiating to acquire certain BrewDog assets based in the U.S. and Australia.
Tilray Brands, Inc.
In a press release, Tilray stated that it would refocus BrewDog on the "craft beer excellence that made it beloved in the first place" and "strategically invest" to return it to profitable growth, with Tilray expecting the business to generate roughly $200 million in net annual revenue.
Tilray Brands, Inc.
Unite the Union, a U.K. trade union, however, alleged that BrewDog and Tilray only informed workers that the sale would result in the closure of 38 bars and the loss of 484 jobs in a "hastily arranged" conference call, with only 25 minutes' notice given.
Unite the Union
The union promised to "demand urgent answers" from both BrewDog and Tilray concerning unpaid wages and transparency regarding the sale process, while pushing for the "best possible redundancy terms for every affected worker."
Unite the Union
Nearly 200,000 investors who participated in BrewDog's Equity for Punks crowdfunding scheme, which raised more than £75 million, have also been affected by the sale, with administrators confirming that they will receive no return from the deal.
guardian
Financial Times

Sources Split

LEFT

CENTER

RIGHT

ESTAB
CRIT

CENTER

PRO
ESTAB

The Spin

Narrative A

Tilray's acquisition of BrewDog is a strategic win for both parties, one that will refocus the iconic craft beer company on delivering excellence while unlocking sustainable growth through Tilray's distribution and operational expertise. As a result, this investment secures BrewDog's future and ensures that the beloved brand continues to lead the craft beer movement.

Tilray Brands, Inc.

Narrative B

BrewDog and Tilray's treatment of workers has been nothing short of disgraceful. With barely any notice given, these companies ambushed their workforce, handing out hundreds of redundancies to those who helped build the BrewDog brand as if they were disposable pawns. Unite will oppose this mistreatment and strive to secure the best terms for all affected workers.