Thwaites sells beer division for £25m

Daniel Thwaites has exchanged contracts to sell its beer division, comprising the businesses that sell and wholesale beers, to Marston’s in a deal worth around £25m.

As part of the transaction it has also sold two of its principal beer brands; Wainwright Golden Ale and Lancaster Bomber.

The sale is subject to a consultation process, with approximately 150 employees set to transfer to Marston’s before the end of April. Thwaites and Marston’s have worked together as part of the deal to put in place a new long term supply agreement.

"The acquisition is consistent with our beer business strategy to focus on local provenance and premium brands, and provides opportunity to capitalise on the developing free trade market and increasing consumer interest in the beer category."

Richard Bailey, chief executive of Daniel Thwaites, said: “This is a very exciting development which allows us to focus on our pubs, inns and hotels, whilst retaining a small brewery to continue to supply our own properties with our fantastic beers and opening up a wider drinks range to our customers through a long term supply deal with Marston’s.

"It is our intention to redeploy the proceeds into both our existing, and new properties and the sale of our third party beer business allows us to move forward with our strategy to provide superb hospitality in outstanding properties in great locations.” The transaction is expected to complete on 17 April 2015.