C&C Group has entered into a long-term partnership with Edinburgh-based beer brand Innis & Gunn to sell and distribute Innis & Gunn’s award-winning range of beers in the UK and Ireland.
To formalise the partnership, C&C will acquire an 8% equity stake by investing in Innis & Gunn.
The agreement also includes a long-term incentive scheme, which will allocate additional shares to C&C based on achievement of performance targets, the company added.
C&C’s Wellpark Brewery in Glasgow and Innis & Gunn’s brewery in Perth will continue to produce and package the beverages as part of a renewed agreement.
'A Key Next Step'
Founder of Innis & Gunn, Dougal Gunn Sharp, said, “At a time when we are seeing consumer demand for our beers increasing, in-fact becoming the sixth-largest Scottish drinks brand in our home market in 2020, this is a key next step in our growth strategy.”
The partnership will see Innis & Gun increase its brand presence and investment in England by leveraging C&C Group’s position as the largest independent beverage-alcohol distributor in the UK and Ireland.
'A Strong And Complementary Addition'
Managing director Scotland at Tennent’s, Kenny Gray, commented, “They [Innis & Gunn] will be a strong and complementary addition which no doubt will be well received by our customers who are increasingly seeking an extended range. As an equity partner, our interests are naturally aligned to grow the brand.
“To that end, we will use our platforms to gain access to the larger UK and Irish markets as well as seeking to collaborate in other, new international markets where we see opportunities.”
Matthew Clark in the UK and Bulmers Ireland and Tennent’s NI in Ireland will distribute the beverages in the on-trade, wholesale and free-trade channels.
Innis & Gunn will be responsible for all brand marketing and sales and distribution in national pub chains, the off-trade, and current international markets, C&C Group added.
Sharp added, “C&C’s strength in the on-trade across the whole of the UK and Ireland, and our long-term relationship, means we have solid foundations from which to build.
“C&C is the right partner with the right platform to help us accelerate our growth into these channels and seek to replicate the success the brand has enjoyed in Scotland. The partnership will also create immediate synergies enabling us to re-direct additional capital behind marketing and new product development.”
© 2021 European Supermarket Magazine – your source for the latest retail news. Article by Dayeeta Das. Click subscribe to sign up to ESM: The European Supermarket Magazine.