SCOTTISH craft brewer BrewDog, has hit its initial crowdfunding target of £7.5million for its crowdfunding investment programme, Equity for Punks Tomorrow, which launched in September. The brewer recently announced its carbon negative status, as it continues to break from conventional business models and become the world’s most sustainable beer business. The renewed mission is resonating with fans of the brewer’s environmental mission, as over 16,000 people have so far invested in what BrewDog has confirmed will be the final crowdfunding offer for the Scottish business.
Equity for Punks Tomorrow launched on 10th September with the initial goal of raising £7.5million. It raised £1million in less than 48 hours, and has now hit its initial target in just over a month, as investors show their belief in the brewer’s commitment to state-of-the-art sustainability projects. With its initial target surpassed, the brewer will be able to fund projects including direct wind power for its breweries, CO2 recovery, electric vehicle fleets, and converting waste into energy.
James Watt, co-founder of BrewDog commented:
“As investors continue to join our thriving community of Equity Punks, it proves people believe in our ambition for the business, and want to be a part of our story. Announcing our carbon-negative status earlier this month was the first step in ensuring that, as a business, we’re holding ourselves accountable for how our actions impact the environment.
Equity for Punks Tomorrow is a critical part of the evolution of BrewDog, as it allows us to fund the next step in our sustainability plans. Every penny from the raise going towards groundbreaking sustainability initiatives. Our aim is for our business to grow while simultaneously reducing our emissions – our success won’t be to the detriment of the planet.”
Having secured over £73million from previous crowdfunding rounds, BrewDog has now set its sights on overfunding beyond its £7.5m goal, with a maximum potential raise of up to £50million before it is scheduled to close on 28th January 2021. Every penny raised beyond the initial goal will also support sustainable ideas and concepts around the world.
Projects to be activated through further funding include:
● Solar power for its breweries in Berlin, Brisbane, Columbus and its Hop Hub in Glasgow.
● Installation of an eco-distillery for its spirits business at its HQ in Ellon.
● Building breweries in burgeoning Asian markets and France, its biggest export market, allowing for a massive reduction in beer miles.
● Funding research and development to ensure production and packaging level up to meet its environmental commitments.
● Creating BrewDog hubs across the UK to allow for local collection and delivery of its beers via an electric fleet of vehicles.
Shares cost £25.15 each and are issued in blocks of two, with the minimum investment of two shares for £50.30.
The speed at which BrewDog has reached its initial crowdfunding target of £7.5million suggests that the business is connecting a new kind of investor – one that is motivated to invest in businesses that are both ethically and commercially sound. Crowdcube, a British investment crowdfunding platform, has seen a 215% increase in ‘green investment’ between 2017 and 2019. Matt Cooper, Chief Commercial Officer of Crowdcube, says: “As the trend towards conscious consumerism gathers pace, people are looking to make more ethical decisions about their lives – from the products they purchase to the ones they invest in. The continued rise in popularity of green investments shows investors want to have a positive impact in the decisions they make.”
The raise is part of a wider success story from the Scottish brewery; BrewDog has substantially increased in value since it began its first crowdfunding campaign in 2009, and has to date raised more than £80.5million from over 145,000 investors. The investment has allowed it to fund an international expansion plan, a 1,600-strong global team, 103 bars around the world, and four world-class breweries in Ellon, Aberdeenshire, Columbus, Ohio, Berlin, Germany and Brisbane, Australia, and support its export to 60 countries worldwide.
Earlier this year BrewDog released a report produced in collaboration with Professor Mike Berners-Lee, author, and environmentalist. The BrewDog Tomorrow sustainability report details the brand’s understanding of its impact on the planet, alongside the steps it is taking to address this through sustainability initiatives, investment in green infrastructure, and ensuring that it is carbon literate across its business.
Investors who buy a piece of BrewDog as part of the Equity for Punks Tomorrow raise will also receive a range of benefits. Equity Punks get access to a lifetime discount online and in its 100+ bars worldwide, exclusive beers (produced using wind power), an invite to attend BrewDog’s legendary AGM with a friend, and a tree planted in the BrewDog Forest. Equity Punks can also refer their friends to invest, and rack up points that unlock prizes. The top 5 referrers from Equity for Punks Tomorrow will win an exclusive, limited-edition electric bicycle from VanMoof.