Brexit May Make This Beer Go Flat

BrewDog is a U.K. craft beer success story. But life outside the EU could slow its momentum.

- Edward Robinson and Thomas Buckley

Twelve years ago, James Watt was fishing for mackerel and halibut on a commercial trawler off the northeastern coast of Scotland. He had a dog, a modest paycheck, and few prospects in a region in decline. Today, Watt is worth $337 million and jets from Europe to Asia to the Americas managing one of the fastest-growing ventures in the U.K.

He didn’t make his fortune as a tech entrepreneur or a securities trader. He and his business partner, Martin Dickie, produce craft beer. Their company, BrewDog Plc, is known for its zesty “punk” ales and over-the-top publicity stunts: The two founders once drove a World War II-era tank through the City of London waving banners displaying their company logo, a yelping dog.

BrewDog is one of the few bright spots in a country caught in the malaise of Brexit. The company is valued at £1.7 billion ($2.2 billion) after its latest crowdfunding round and the 2017 sale of a 23 percent stake to a U.S. private equity firm. Its revenue soared 60 percent in 2018, to about £179 million, as it notched another year of net profits. And BrewDog, which sells beer in 60 countries and owns more than three dozen bars and restaurants in the U.K., has created more than 1,200 jobs in Britain.