Brewdog's unpaid workers to receive nothing after takeover deal
Administrators say about £489,000 was owed for staff wages and holiday pay and £2.4m was owed to HMRC for unpaid VAT.
Unpaid workers of Brewdog will receive no compensation following the company's takeover deal, despite the firm's £500m of debts. Administrators AlixPartners revealed there were insufficient funds to repay creditors, with £2.4m owed to HMRC for unpaid VAT and £489,000 in wages still outstanding. The brewery had 38 bars close across the UK, leaving £20m in unpaid bills to numerous UK businesses.
Tilray, the US drinks firm that bought Brewdog in a £33m rescue deal, will pay its preferential creditor HMRC in full for £3.66m tax owed. The administrators cited unforeseen costs, such as securing closed Brewdog pubs from unauthorized occupants, in the insufficient funds raised. The company's biggest debt was to HSBC, owed over £61m.
Private equity backer TSG, which held a 22% stake in the brewer since 2017, is set to lose £27.6m. Despite the collapse, Brewdog's owner Tilray is still expected to repay HMRC.
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