Overtone Brewing Ltd, an independent UK brewery known for its vibrant cans of craft beer, has collapsed into liquidation eight years after its founding. The Glasgow-based company, celebrated for its "amplified" New England IPAs, appointed liquidators on May 21 after being wound up by the courts in February due to unsustainable debts.
Liquidation Details
George Lafferty of restructuring firm BTG Begbies Traynor was appointed as liquidator. The business was founded by Bowei Wang and Dan Miller in Yoker. Thomas McKay, a partner at BTG Begbies Traynor, stated: "Following a review of the financial position of the company it was no longer sustainable to continue to trade due to the level of accumulated debts, and with no viable investment available, the company directors took the decision to place the company into liquidation and cease to trade."
Acquisition by Inn House Brewery Company
Overtone's business and assets were acquired by Inn House Brewery Company, which has since approached some affected staff regarding future employment. The acquisition came after Overtone's financial troubles became insurmountable.
Industry Challenges
The collapse comes amid a tough trading environment for independent brewers. Rising duty rates in recent years have placed a particular burden on smaller breweries, who face a more challenging cost environment than larger competitors. This follows a similar situation at Tottenham-based Redemption Brewing Company, which called in administrators from FRP Advisory. FRP noted: "It follows a sustained period of financial pressure on the business."
Birmingham hospitality bosses have also reported hitting a ceiling in the current market, highlighting widespread difficulties across the sector.
