Black Sheep Brewery makes redundancies at Masham office

Black Sheep Brewery has announced a “small number” of redundancies at its head offices in Masham.

In a statement, the brewery also said three of its pubs in Leeds and York would close with immediate effect.

A spokesperson for Black Sheep said the redundancies would be made in its retail arm.

Meanwhile, The Tap & Kitchen and Mr. Foleys in Leeds, along with The Last Drop Inn in York, will shut following an “extensive review” of the brewery.

A spokesperson said:

“Having recently conducted an extensive review of our business, we have explored every angle to try to keep these locations trading profitably, but without success.

“Unfortunately, the only avenue left for us was the closure of these premises. It is always the last resort for us to make redundancies, and we are saddened to see such dedicated colleagues leaving us, at this time.”

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Breal Capital bought the brewery for £5 million on May 26 as part of a pre-package administration deal.

Teneo Financial Advisory, which was appointed as administrators of Black Sheep, revealed sales fell from a high of £19 million in 2019 to £14 million last year, which resulted in a £1.6 million loss.

It added the company’s performance “suffered during the covid pandemic and trading challenges continued as a result of the current economic environment”.

The move also left creditors, including HMRC and suppliers, owed nearly £3 million.

Following the sale, Charlene Lyons, who was kept on as chief executive of Black Sheep, warned that other breweries faced administration amid the current economic climate.

London investment firm buys Masham’s Black Sheep Brewery

A London investment firm has bought troubled Black Sheep Brewery in Masham.

Black Sheep announced early this month it intended to appoint administrators after being hit hard by covid and rising costs.

Breal Capital was reported to be leading the race to acquire the company.

Today the news was confirmed in a short statement which did not reveal how much had been paid for the business.

However, the news saved about 50 jobs in Masham and more in the supply chain.

The new owners said it had “a proven track record of successfully transforming and growing the businesses it acquires”.

A spokesperson for the new Black Sheep Brewing Company said:

“We are pleased to announce that Black Sheep Brewery has been acquired by the Breal Group and has become Black Sheep Brewing Company Limited, trading as Black Sheep Brewery.

“This marks the next chapter in the history of Black Sheep as we look to grow the business in a sustainable way.

“Our team will continue to produce great beers from our landmark brewery in Masham, North Yorkshire and we look forward to welcoming bank holiday customers and tourists to all our retail sites this weekend.

“Breal has a proven track record of successfully transforming and growing the businesses it acquires through the private capital, operational resources, and strategic expertise it brings and we look forward to working closely with the team.”

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Talks to buy Masham’s Black Sheep Brewery reported to be underway

A London investment firm is in talks to buy Masham’s troubled Black Sheep Brewery, according to media reports today.

The brewery, which employs about 50 staff, said last week it intended to appoint administrators after being hit hard by covid and rising costs.

Sky News reported Breal Capital has emerged as the leading contender to acquire the company, which was founded in 1992 by Paul Theakston.

Sky News said “other bidders remained in contention to acquire the business, and that a deal with Breal was not yet certain”.

It added the brewery asked interested parties to table offers by last Friday, and cited a pre-pack administration as one possible outcome.

Breal Capital is part of Breal Group, which did not respond to the Stray Ferret’s request for comment today.

Charlene Lyons, Black Sheep Brewery’s chief executive, said last week:

“The business has been hit very hard by the pandemic and the sudden rise in all costs.

“It has been the perfect storm, but the team are confident that with a new structure Black Sheep will thrive and grow as the team set course in a new direction.”

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