E-Malt.com News article: UK: Everards Brewery to sell business to WaverleyTBS

Leicestershire-based Everards Brewery has agreed to sell its independent free trade business to WaverleyTBS with effect from 30 June 2006, the Morning Advertiser posted June 13.

The deal - for which the price has not been disclosed - is regarded as highly innovative with WaverleyTBS signing an agreement to sell Everards through its UK distrbution network for ten years.

It is understood Everards initiated the deal to allow it to focus on developing its pub estate and build its cask ale brand, which have grown 27% in its national accounts business during the past three years.

WaverleyTBS acquires an independent free trade business with a £12 million turnover, along with a 10 year agreement to supply wines, spirits, minerals and packaged beers to Everards’ 161 strong pub estate.

The business is comprised of more than 500 customers, who operate their own businesses within a 70-mile radius of the brewery. WaverleyTBS will be leasing office and warehouse space at Everards’ headquarters, creating its own Leicester depot at the Castle Acres site.

The sale affects 34 Everards’ employees.

However, following a period of consultation leading up to 30 June, 25 employees will transfer employment to WaverleyTBS while continuing to be based at Castle Acres. It is anticipated that, on completion of the deal, there will be no more than nine redundancies.

However, it is possible that some jobs can be found within WaverleyTBS and these will be discussed with the employees concerned at the appropriate time.

WaverleyTBS will supply and deliver a full composite range of drinks to more than 500 free trade customers.

Everards will retain sales of its ales to these customers, along with the anticipated growth for its brands through the UK wide distribution brought by WaverleyTBS.

Stephen Gould, managing director for Everards, said: “We believe this deal enables us to focus our efforts and resources on what we do best, which is running a high quality pub estate and brewing fine cask ales. Through WaverleyTBS we plan to increase national sales of Everards ales, including core and seasonal brands. Our existing free trade customers will still be able to purchase Everards’ ales but will benefit from an increased range of drinks supplied by WaverleyTBS.

“Our employees involved in the transfer of the business, along with our customers, have been informed of the agreement and a full consultation process is underway.”

Stephen Brogan, trading director for national sales at WaverleyTBS, said: “This deal with Everards (is) a win-win situation for all parties concerned. We are able to expand our on-trade presence with the best composite offer in the market, Everards is able to concentrate on the continued growth of its high quality pub estate and cask ale brands.”

The Everards stable of cask ale brands includes Tiger, Best Bitter, Everards Original, Beacon Bitter and Sunchaser Blonde.



14 June, 2006