UK – Kilchoman Distillery, a fast growing scotch distillery, has secures a £22.5 million (US$30.35 million) deal with British multinational bank Barclays to expand its production capabilities.
Kilchoman was the first new distillery to open on Islay in 124 years when it was established by Anthony and Kathy Wills in 2005.
The distillery has undergone rapid expansion since its first single malt was launched three years later, and today has its whisky sold in 50 countries.
The £22.5 million deal will be used to expand production at the Kilchoman farm distillery by 40 per cent to 625,000 litres of alcohol.
It will also be used to increase the presence of its single malt in its four biggest markets overseas: France, Germany, the US, and China and support the construction of a new warehouse to store further casks of whisky for maturation.
The expansion is designed to ensure Kilchoman is able to continue meeting the demand it is forecasting for its single malt in the years to come, having seen sales rise throughout the pandemic.
Mr Wills said Kilchoman said the company saw its turnover increase to £9 million in 2021, up by over 30 percent on the year before, noting that it had benefited from consumers buying whisky online during periods of lockdown.
Wills who doubles up as the managing director and master distiller noted that the rise in capacity at Kilchoman is “all dedicated to single malt… which has been growing very well for the last 12to 15 years”.
This contrasts with the strategy at many other distillers, which sell whisky for the blended Scotch market.
Inverleith acquires Scottish whisky distiller Eden Mill
Meanwhile, Private investment firm Inverleith has acquired a majority stake in Scottish premium whisky and gin distiller Eden Mill St Andrews.
Eden Mill produces Scottish craft gins and single malt scotch whisky, including flavoured and heritage gins, as well as its ‘hip-flask’ whisky series.
Paul Miller, Eden Mill’s managing director and founder, said: “We have been looking for an investor who shares our passion for the Eden Mill opportunity, who understands the uniqueness of the opportunity and is aligned to our vision.
With their consumer strategic brand and commercial expertise, I am confident that we have found the right partner to take drive and support the next and most significant stage of the Eden Mill journey.”
The investment from Inverleith will enable the company to expand its distribution in the UK and internationally.
The company also plans to build a new carbon-neutral distillery located on the University of St Andrews Eden Campus.
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