Good Drinks Australia and Stomping Ground Brewing Co have mutually agreed to pull out from the former’s planned acquisition of the Victorian Brewery.
GDA announced its intention to buy Stomping Ground in August last year; however, with conditions changed, both parties said it was best to “move forward separately”.
John Hoedemaker, MD, Good Drinks, said that while Stomping Ground is a great business, current conditions have challenged GDA’s underlying business case for the acquisition and would require more resources than initially expected to create “meaningful value” for shareholders.
“We know Stomping Ground will continue to be a great craft beer brand and wish the team all the best for the future,” said Hoedemaker.
Steve Jeffares, founder of Stomping Ground, explained that the benefits of joining forces became less compelling with softer trading conditions in the last few months.
We felt it was a smarter option for us both to focus our efforts and resources on consolidating in the markets we know and understand best, our own,” said Jeffares.
“We’re incredibly proud of our award-winning team, beers, brand and venues, and our committed shareholders remain excited and energised about our strategic plans for Stomping Ground in Victoria.
“We wish the Good Drinks team all the best in the years ahead.”
