Meantime, the London-based craft beer brewery, has secured a £6m funding package from HSBC to double its beer production and increase its export capacity.
The investment will be used to increase beer production from 90,000 hectolitres annually to 175,000 hectolitres - or 37 million pints – in response to increasing demand. The funding package includes invoice financing and equipment finance, which have allowed Meantime to import brewing equipment from Europe without impacting cash flow.
The financing also includes a loan of £1.4m and £1m in trade financing to allow the brewery to increase distribution of its beer overseas.
Meantime currently sells its beers in supermarkets and pubs in London and increasingly to pubs nad restaurants across the UK as well as increasing exports such as to the US.
The company has banked with HSBC since February 2014 when exports of its beers to international markets were becoming a key growth area and it felt HSBC could provide better services as they increased exports.
Meantime CEO Nick Miller, who attended an HSBC trade mission to Istanbul earlier this year to meet new potential distributors, said: “Craft brewers such as Meantime are giving the UK drinks industry a shot in the arm by bringing taste, quality and innovation back to the industry. We have been experiencing strong demand for both our beers and our tours, but we aren’t just chasing growth for growth’s sake. We want to make sure our drinks are in the pubs and stores which share the same values of our brand and 120-person strong staff.
“As a business, it’s meant a lot to us that a global brand as well-known as HSBC got behind us and believes in what we’re doing – which is making top-quality beers with all the considerations of the world’s best wines. Being involved in HSBC’s Global Connections competition this year, coming in third place nationally, and first regionally, has also been very rewarding; we were able to meet with other brilliant UK businesses involved in the competition and exchange our experiences expanding our business and exporting abroad.”
HSBC senior executive director, commercial and private banking, Carol Bagnald said: “Meantime is bringing the art of brewing back to London and is experiencing phenomenal growth. Nick and his team are all passionate about producing a top-quality product, but also engaging people in the brewing process through its tours. This investment will help take the business to the next stage and I’m pleased HSBC has been able to support this expansion.”
