Chapel Down reveals beer business Curious Drinks to be picked up by Luke Johnson’s Risk Capital Partners

Chapel Down has revealed that serial investor and former Patisserie Valerie chairman Luke Johnson is to pick up its beer business. 

The Aquis-listed winemaker said it will put its title-winning Ashford-based brewer Curious Drinks - which launched in 2019 and saw 90% of its beer and cider sold in hospitality venues pre-pandemic - into administration, to be taken up by Johnson’s Risk Capital Partners (RCP) through a pre-pack which is set to guarantee all the brewer's jobs. 

The Kent-based company, which is backed by City veteran Michael Spencer and known for its sparkling bottles, said the exit will reduce its net debt from £7.2 million to £100,000. 

Chapel Down chief executive, Frazer Thompson, told the Standard the move will allow his firm to focus on its profitable wine business - which saw volume sales increase by 38% in 2020 despite the pandemic as both home-drinking and demand for English wine increased.

Thompson said Chapel Down have been "nimble" during the crisis, seeing e-commerce grow from 4% to 20% of its business since the pandemic broke out.

He said: “The demand and respect for English wines is growing exponentially… We’re hugely excited about the prospects for English wines, so any money that we’re spending that isn’t going into that is a concern. Much as we adored that beer business, it is draining resources from a business that is spectacularly successful at the moment."

Of the sale to RCP, he said: “He [Luke] knows his way around this industry. I wanted to make sure there was no unemployment, that someone was going to come in and invest who believed in this business… and Luke is that sort of visionary entrepreneur who can give this business the investment it needs.”