Bond offer opens on Triodos Bank Crowdfunding site offering investors 5% interest
Award winning organic craft beer producer, Stroud Brewery, has launched a bond offer to raise £300,000. Working with Triodos Bank, one of the UK's leading sustainable banks, the money raised will be used to develop a new brewery and bar opening this autumn. Stroud Brewery is a fast-growing, profitable company with turnover of close to £1 million in 2018 and is one of only a handful of solely organic brewers in the UK.
The brewery has been running for 12 years, with a focus on producing beer locally and sustainably. It uses short supply chains and lightweight packaging as well as re-using waste grains and hops for cattle feed and compost. The malt and barley are sourced from within 15 miles of its home in Thrupp, just outside Stroud in Gloucestershire.
The new site has been designed to accommodate the organic brewery's growing needs, providing greater capacity for beer production, storage facilities, larger offices and a new taproom. It will also further improve the green credentials of the company with heat reclamation, rainwater harvesting and solar powered electricity.
Greg Pilley, founder and managing director of Stroud Brewery said:"This is a significant development for Stroud Brewery and will provide us with the platform to take the business to the next stage. The new brewery will ensure we retain and enhance the quality of our beers, while growing the range of beers we produce. We want to continue to be recognised for our ethos of sustainability, local production and community engagement. This ecologically designed brewery gives us a strong identity, a visitor destination and a vibrant community space."
All the Stroud Brewery beers are Soil Association accredited. The 2018 Organic Market Report revealed 6% overall growth of organic food and drink in the UK, and organic beers, wines and spirits specifically saw a +8.2% increase.
To develop the bond offer, Stroud is working with Triodos Bank. Earlier this year, Triodos became the first registered UK bank to launch an investment crowdfunding platform and has raised £18.2 million across 7 deals since then. The site (www.triodoscrowdfunding.co.uk) exclusively focuses on raising money for ethical businesses and charities that deliver a positive environmental, social or cultural impact.
The Stroud Brewery bond is open to anyone that registers on the Triodos platform and will pay 5% interest with capital repaid after seven years. As with all investments, interest payments are not guaranteed, and capital is at risk. The bonds are eligible to be held in a Triodos Innovative Finance ISA which allows investors to earn interest tax-free subject to eligibility.
Dan Hird, Head of the Triodos Corporate Finance team, said:"We are delighted to be working with Stroud Brewery at such an exciting time for the company. We have been impressed with the management team and their commitment to sustainability through the whole supply chain. It is also a great fit with Triodos given our long history of supporting the organic food & farming sector."
Investors will become members of the 'Stroud Brewery Beer Club' for the period of the bond, giving them reductions on beer purchases online or in the bar. The details of the crowdfunding can be found at on www.triodoscrowdfunding.co.uk.
An investment in Stroud Brewery Limited bonds is not covered by the Financial Services Compensation Scheme. Stroud Brewery Limited's ability to pay the interest and repay the bonds is not guaranteed and is dependent on the continued success of its business model. These bonds are unquoted securities with a fixed repayment date and although the bonds are transferable, investors should be aware that they may not be able to access their capital during the life of the bond.
Notes to Editors
Stroud Brewery published an offer document dated August 2018. Applications can only be made on the basis of, and subject to, the terms and conditions of the information contained in the offer document which includes the terms and conditions of the Triodos Crowdfunding website. The Stroud Brewery Limited is a limited company registered in England with registered office at 141 Thrupp Lane, Thrupp, Stroud, Gloucestershire GL5 2DQ (registered number 05165299).
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About Stroud Brewery
Stroud Brewery is a fast-growing organic beer producer based in Thrupp near Stroud. The company was set up to promote a connection between consumers and producers. The focus is on local production and community engagement. Malt and barley are sourced from within 15 miles of the brewery and Stroud Brewery has strong relationships with suppliers and customers.
The majority of the beer is sold to pubs in the Cotswolds and surrounding area and to independent retailers across the UK. The core of its business is centred in the community where the ingredients are sourced from. Stroud Brewery began in 2006 and its mission is "to make fantastic organic beer and bring people together, in the most responsible and sustainable manner possible."
About Triodos Bank
Triodos Bank is a global pioneer in sustainable banking using the power of finance to invest in projects that are good for people and the planet. Triodos uses its €14.5 billion (2017) in assets to create social, environmental and cultural value in a transparent and sustainable way.
With UK operations based in Bristol, Triodos Bank has branches in the Netherlands, Belgium, Spain, Germany and an agency in France. Globally, Triodos Bank has microfinance projects in Central Asia and Eastern Europe and is a founding member of the Global Alliance for Banking on Values (GABV), a worldwide network of 53 banks seeking to transform finance into a vehicle of positive influence.
Triodos Bank has an excellent track record in raising finance for social and environmental organisations and in the last 15 years has raised more than £130 million to fund over 50 impact projects. In 2003, Triodos successfully raised the first charity bond in the UK for Golden Lane Housing, one of the UK's leading supported housing charities for people with a learning disability. In 2013, a further £10 million was raised for the charity including a refinancing of the 2003 bond where over 40 per cent of bondholders re-invested.
Triodos Bank NV (incorporated under the laws of the Netherlands with limited liability, registered in England and Wales BR3012). Authorised by the Dutch Central Bank and subject to limited regulation by the Financial Conduct Authority and Prudential Regulation Authority. Details about the extent of our regulation by the Financial Conduct Authority and Prudential Regulation Authority are available from us on request.
Investments offered on the crowdfunding platform are not readily realisable, which means that they may be difficult to sell, and you may not get back the full amount invested. Investments are not covered by the Financial Services Compensation Scheme (FSCS) and your capital is at risk and returns are not guaranteed. Repayment of capital and interest or payment of dividends will be dependent on the success of the organisation's business model and past performance isn't a reliable indicator of future performance. You should always read the offer document in full before deciding whether or not to invest as it will cover risks specific to an individual investment. You can read more about the general risks associated with making these types of investments here. If you are unsure if any of these investments are right for you, you should contact an Independent Financial Adviser.