Edinburgh-based independent craft beer company Innis & Gunn said on Tuesday that Greenwich, Connecticut-based private equity firm L Catterton has made an offer to invest in the firm and take a minority stake of 27.9%.
It is understood the offer is for about £15 million, which values the entire company at more than £5o million.
“Innis & Gunn … announced it has made a recommendation to its ordinary shareholders to consent to an offer of investment in the business from L Catterton, the largest consumer-focused private equity firm in the world,” said the beer firm.
“Completion of the deal would give L Catterton a minority stake of 27.9% in the business, and Dougal Gunn Sharp will remain the largest single shareholder …
“The offer from L Catterton reflects and confirms the price paid by the crowdfunding community in November 2016, when Innis & Gunn raised £2.4 million through its first equity crowdfunding campaign, AdventureCapital.”
Catterton has made more than 150 past and current investments in leading brands across all segments of the consumer industry since 1989, and in 2016 formed L Catterton through a partnership of Catterton, LVMH and Groupe Arnault.
“With over $14 billion dedicated to growing middle market companies and emerging high-growth enterprises, we are the largest and most experienced consumer-focused private equity group in the world,” said L Catterton.
Innis & Gunn reported a 22% increase in turnover to more than £14.3 million in 2016.
Dougal Gunn Sharp, Innis & Gunn Founder and Master Brewer said: “The craft beer category is booming globally, and this is a hugely exciting opportunity at the right time for us to build strongly on the solid foundations that have been laid to double our 2015 turnover by 2018.
“Innovation and quality have been at the heart of Innis & Gunn’s success since day one, and this continues to drive us forward.
“Aside from providing additional capital to accelerate our growth plans, we believe L Catterton will strengthen our business with unparalleled expertise in brand building and a deep understanding of global consumer markets, sharing our vision and supporting our continued expansion and growth.”