Broo buys Mildura Brewery

[Cube]

Haven't seen it in a search or new posts so this is what I got today via email:

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Broo Ltd (ASX: BEE) (the Company) is pleased to announce that it will acquire, through its wholly owned subsidiaries, the Iconic Mildura Brewery located in Mildura, Victoria.

The Mildura Brewery, located in the former Astor Theatre, is a unique, locally operated beer production and brewery pub business in Mildura, Victoria, which has been in operation since December 2004.

The Mildura Brewery was one of the first Craft Breweries and contract brewing facilities in Australia. It has played a significant role in the establishment and growth of the Australian Craft Beer Industry.

The acquisition of the Mildura Brewery beer production business will provide the Company with a commercial brewery facility to immediately commence its own beer production, providing the Company with the opportunity and capacity to expand distribution of its beer products nationally. This facility will significantly reduce current production costs in turn providing increased profitability across sales of existing brands.

As part of the acquisition, the Company will also be acquiring the various Mildura Brewery beer brands currently being produced at Mildura Brewery, and which the Company will add to its existing product portfolio.

The acquisition of the Mildura Brewery pub venue provides an exciting extension of the Company’s existing business by providing a micro – brewery hospitality venue for the Company to showcase and realise retail margins for the Company’s suite of beer products. This model is in line with the Company’s domestic growth strategy with additional sites currently being evaluated for further expansion.

Completion of the acquisition to occur on 28 February 2017 subject to liquor licences being in place with a sunset date of 31 March 2017.

The Company is thrilled for this upcoming venture, which represents yet another exciting stage in the growth and development of the Company’s operations within Australia.

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Edit for spelling broo as brew LOL.

 

[Bribie G]

Who brews their beer currently?

 

[Dae Tripper]

What is happening to their Hunter Valley Brewery?

 

[Cube]

Who brews their beer currently?

Unsure. It is brewed under contract so that should narrow it down to only breweries that offer such a service.

 

[Dan Pratt]

I find it interesting that Broo just floated on the ASX with a failing beer brand in Australia, with plans to crack the Chinese market, it somehow convinced enough investers to get listed and they bought a brewery instead..hmmmmm.

 

[Bribie G]

Were this the mob who were offering hugely expensive dealerships a few years ago?


Edit. Yes, 50K got you in. Just search AHB on broo.
On phone and cant do a link.

Broo is actually a member here.

 

[wide eyed and legless]

The Broo beer is on sale in China, don't know how its travelling, over there it is brewed by the Jinxing Group, I would expect the money made from the float has been invested into the Mildura Brewery.

 

[GalBrew]

I hope they don't reduce production of the Mildura brands for that 'Broo' cat's piss. Seems like a really odd situation.

 

[sp0rk]

What is happening to their Hunter Valley Brewery?

Are you thinking of Matilda Bay?

 

[tugger]

I'm thinking I may be offered a job there and move interstate.
I like their cats piss.

 

[Blind Dog]

the updated ASX announcement says the total consideration is A$1m, which seems kind of cheap for a brewery that (per other reports) has a brew length of 2,350L,a bottling line with a capacity of 3,000 bottles an hour, plus the pub and associated tanks, equipment etc.

 

[klangers]

the updated ASX announcement says the total consideration is A$1m, which seems kind of cheap for a brewery that (per other reports) has a brew length of 2,350L,a bottling line with a capacity of 3,000 bottles an hour, plus the pub and associated tanks, equipment etc.

There must be some significant debts outstanding then... otherwise yeah, I'd probably open another mortgage and have a crack myself.

 

[HBHB]

http://aussiehomebrewer.com/topic/64821-broo-beer-franchises/page-5

 

[Wimmig]

God damn Broo sucks something proper.

 

[pist]

I didn't mind some of the Mildura brews. Mallee bull heavy and the honey wheat were my faves. If they even continue to be produced, they will no doubt turn to shit. That broo cats piss is horrid

 

[Bribie G]

But it's "premium" cat's piss, isn't it? Maybe they use Burmese and Russian Blues exclusively.

 

[Dae Tripper]

Are you thinking of Matilda Bay?

Yep I was way off there lol

 

[sp0rk]

Yep I was way off there lol

I'm wondering how long until that place gets rebranded as "YAK ALES"
Every time I've been there (during the week and on weekends) there's never anyone brewing, and it's like $7 for a middy
Food is ok, but rather over priced

 

[Dae Tripper]

Thanks for the review Spork. Not going there then.

 

[sp0rk]

I will admit, it's a nice area
The wine cellar has some quality wines
We went to the candy cooking class there for the wife's 30th last year, made boozy rocky road, drank a shitload of wine and had a great day