Smuttynose Brewing Company, New Hampshire’s top craft brewery and producer of one of New England’s most popular craft beer brands, is seeking an immediate buyer. The company is scheduled to be sold at bank auction March 9, 2018. Founded in 1994, the company employees 68 people and generates more than 10 million dollars in revenue a year.
The sale includes the Smuttynose brand, its new, state-of-the-art, LEED – Gold certified facility on the historic Towle Farm in Hampton, and Hayseed Restaurant located next to the brewery on the picturesque 13-acre campus. The brewery is among the largest in New England, capable of producing 75,000 barrels a year. However, in the last year it has been running at 50% capacity.
Smuttynose Brewing Company Owner Peter Egelston says:
“The company’s financial models were based on 20 years of consistent growth but the explosion of microbreweries has led to changing dynamics in the marketplace. This dramatic shift occurred just as Smuttynose committed to a major infrastructure investment with the construction of the new production facility. As the turmoil in the marketplace stabilizes, Smuttynose, a trusted brand with strong consumer loyalty, can regain its footing with a major infusion of capital.”
Egelston recently held a staff meeting in which he informed employees of the impending auction:
“I reminded them that the company’s most valuable assets are the Smuttynose brand and the people behind it. With the arrival of a new owner, we anticipate a smooth transition as we are committed to continuity.”
Egelston stressed that the company is open and will conduct business as usual.
“Smuttynose’s strength lies in their dedicated and engaged employees” said New Hampshire Governor Chris Sununu. “They have been a strong and reliable community partner throughout the years, and I hope the new owners, once determined, will appreciate their hardworking employee base by committing to keeping these manufacturing jobs in New Hampshire.”
Lead lender Provident Bank is managing the auction process, with Auctioneer James St. Jean out of Epping, New Hampshire and Delta Capital of Simsbury, Connecticut, as financial advisors. For details about the March auction visit http://www.jsjauctions.com
Says Provident Bank President Chuck Withee, “Smuttynose Brewing Company has been a valued customer and an important part of our community. Provident Bank is committed to working with the company during these challenging financial times to produce the best outcome for everyone involved.”
Egelston, along with partner Joanne Francis, is also owner of the Portsmouth Brewery, a popular brewpub located in downtown Portsmouth and not part of the sale.
Peter Egelston got his start in craft beer in 1987 as head brewer and co-owner of the Northampton Brewery in Massachusetts, which his sister now solely owns. He founded the Portsmouth Brewery in 1991 and Smuttynose Brewing Company in 1994. Egelston is a philanthropic and environmental leader having served on the Advisory Boards of the NH Charitable Foundation and The Currier Museum of Art. He was recognized with the Humanitarian of the Year Award from the National Share our Strength organization and received the NH Business Review Excellence in Manufacturing Award.
Smuttynose Brewing Company is a community-minded company that has supported dozens of nonprofit organizations in NH for over 23 years. For more information visit http://www.smuttynose.com
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