C&C Group snaps up Innis & Gunn from administration

C&C Group has acquired Scottish brewer and retailer Innis & Gunn brand from administration for £4.5m.

 

The drinks group has been a small minority shareholder and a brewing partner for Innis & Gunn for a number of years.

 

C&C feels the acquisition represents “an attractive opportunity for the group to further broaden its branded portfolio with a premium well-established brand”.

 

It expects Innis & Gunn integration to present a very low execution risk, with the brand being fully absorbed into the group’s existing operational, commercial and supply chain infrastructure. As a result, C&C’s board anticipates a rapid operational transition and minimal disruption to the business.

 

The drinks giant intends to develop the Innis & Gunn brand utilising its established production capability, routes to market and infrastructure, with minimal requirement for incremental overhead or capital investment.

 

The move lines up with C&C’s integrated manufacturing supply, marketing and sales business model.

 

CEO Roger White said: “We have worked with Innis & Gunn for many years and whilst it’s under difficult circumstances, we are delighted to bring the brand fully into our portfolio. This is a compelling and highly synergistic opportunity to save a well-loved brand for which we currently brew most of the product.

 

“Our existing brewing and route-to-market platform allows us to integrate the brand effectively and quickly, supporting the ongoing supply of products to customers and consumers. We expect this acquisition to make a small positive contribution to our overall financial performance in FY27."

 

Craft brewery Innis & Gunn was founded by Dougal Gunn Sharp (pictured) in Edinburgh in 2003 and is known for its oak-aged beers and lagers. It also owns a taproom in the Scottish capital and two in Glasgow.

 

However, the taprooms were not part of the deal and all 105 staff employed there are being made redundant.

 

Sharp said: “Today is a very difficult day, first and foremost for the brilliant people who have worked so hard to build Innis & Gunn over the past 23 years. I’m immensely proud of everything our team achieved together, creating a distinctive Scottish beer brand enjoyed by customers at home and around the world.

 

"While this outcome is not what any of us hoped for, I’m glad the brand has found a home with C&C Group. We’ve worked closely with the team for many years and they have the scale, distribution and experience to take Innis & Gunn forward. I truly hope the next chapter allows Innis & Gunn to fulfil the potential we always believed it had.”

 

Its latest financial results for the year ended 31 March 2025 showed that it posted a loss of £747,000, which actually halved 2024’s £1.6m loss.

 

C&C Group itself issued a profit warning in January, now expecting it to be in the range of €70m-€73m (£60.9m-£63.5m), reflecting lower operating profits in its distribution business.

 

In its last financial year to 28 February 2025, the group posted a net operating profit of €45.8m (£38.4m), compared to an €84.4m (£70.8m) loss the previous year.

 

During the latest period, business performance was driven by “softer than anticipated demand in hospitality”, alongside adverse product mix, as consumers continue to move away from the consumption of wine and spirits in favour of beer across the market.

 

The group produces brands including Tennent’s beer and Bulmers cider.

 

C&C Group previously discovered “accounting mistakes and errors” in its results from 2021-2023.

 

Its former chief executive Patrick McMahon stepped down in June 2024 after the errors were discovered.

 

Roger White took over as group chief executive officer in December 2024.