James Watt, co-founder of BrewDog, has faced criticism from small investors after the company was sold for £33m, leaving many empty-handed. Watt apologised via LinkedIn to over 200,000 'equity punks' who invested £75m through crowdfunding rounds but received no return from the sale to US firm Tilray Brands.
The multimillionaire admitted to 'many mistakes' during his 17-year tenure, saying the 'mistakes hurt far more than the successes console'. He expressed heartbreak for the 484 staff who lost their jobs, as Tilray purchased only 11 of BrewDog's bars, leaving 38 to close.
Investors criticised Watt on LinkedIn, with Fraser Campbell noting he 'walked away with £50m from the TSG deal, while everyone who gave you their money is now left with nothing'. John Allison questioned if Watt was 'heartbroken' over giving institutional investors preference, while Cathal Morrow challenged his use of the term 'punk' in his bio.
Some investors were more forgiving, like Fraser Neil, who said he bought shares for the love of the beer, not to get rich. The sale, a fraction of BrewDog's once-targeted £2bn valuation, follows five years of losses and controversies over company culture, including a 'culture of fear' and hiring private investigators to probe a BBC documentary.
