BrewDog launches Equity for Punks VI

(Emma) #1

Looks like there’s another Equity for Punks on their website not crowdcube, for £7 million

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BrewDog launches Equity for Punks V on Crowdcube
(Alex Sherwood) #2

Here’s a bit more coverage about their plans -

& a short summary of their motivations from one of the founders..

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(Big Boss) #3

Strong language… :face_with_symbols_over_mouth:

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(Emma) #4

The pugnacious craft brewer

aol missed an obvious pun there, punknacious surely?

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#5

I invested in EP V but giving this one a miss as I want to put all my spare cash into my ISA.

Good to see them going from strength to strength though.

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(Jim) #6

I’ve got the Brewdog Bond from 2015. Due for repayment in 7 months - time flies :frowning_face:

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#8

Been interested in them for a while, even though I’m not a heavy beer drinker and barely ever tried any of their IPAs, but decided to get in now.

Trying to track their share price equalising splits over time seems quite informative:

£25 EFP VI (2019)
£23.75 EFP V (2018)
£13.18 TSG investment (2017) - 10 for 1 split
£4.75 EFP IV (2015) - 5 for 1 split
£1.90 EFP III (2013)
£0.475 EFP II (2011) - 10 for 1 split
£0.46 EFP I (2010)

That’s something in the range of a 5500% return in under a decade. Not bad but can this be replicated for even another five years? The 2018 Price to Earnings multiple was, and this is not a typo: 214. That will be much lower this year given the modest price bump and exponential revenue growth, but still…not sure what public investors would make of that.

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(Louis Otto) #9

I loved BrewDog when I still drank, it was by far the nicest range of craft beers I’d tasted. Glad to see they are going from strength to strength.

(Ben) #10

Some interesting analysis on the BrewDog forum for valuation - https://forum.brewdog.com/t/valuation-of-brewdog-update/20618 - personally think that the recent clearing price of £15 on the trading day closer to their current fair market value.

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#11

Very interesting stuff there. I guess clearing prices are lower because of the hassle/various limitations though as opposed to its true value? This bit from the September report on the TSG investment is rather illuminating:

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I can’t see them not listing within 5-10 years given the uproar a dilution of B class shares would cause. They would probably initiate another 10 for 1 split before IPO to get in the usual LSE range, ie. 356p in 2023. This is obviously the absolute minimum they would think to list at and the updated forecast of £69/690p by 2024 is perhaps more realistic, especially given the international potential. That is a return of 76% over five years. If we go by his market cap and revenue projections, the 2024 hypothetical IPO price to earnings would be roughly 10-12, which isn’t abnormal.

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(Aaron) #12

I bought a few shares in the 2013 (I think) round, although it could be the one after as I can barely remember what I had for breakfast! I’ve been waiting patiently for an IPO ever since. Unfortunately with the uncertainty, and inevitable impact, of Brexit, I don’t see this happening in the next few years :expressionless:

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(Ben) #13

Yes - or buy at £15 a share here for over 100% return… https://www.brewdogshares.com/

#14

New CFO from Just Eat