The sale encompasses the brand Smuttynose as well as its brewery, which includes a recently constructed, LEED Gold certified facility, and Hayseed Restaurant, located on a 13-acre property, Towle Farm.
The regional craft brewer was founded in 1994 and reports revenue of more than $10 million per year, with an annual production capacity of 75,000 barrels. For the past year, however, the brewery has been running at half capacity, according to a local news source, Seacoast Online.
The brewery owner, Peter Egelston said the explosion of microbreweries in the U.S. is to blame for Smuttynose’s sale, with the craft beer boom occurring just as Smuttynose had committed to a major investment of its new, environmentally-focused production facility, which had been planned per a financial model based on 20 years of growth.
In a staff meeting, Egelston told employees that despite the news, things are “business as usual,” and the Smuttynose brand is expected to continue under new ownership: “I reminded them that the company’s most valuable assets are the Smuttynose brand and the people behind it. With the arrival of a new owner, we anticipate a smooth transition as we are committed to continuity,” he said.
Smuttynose Brewing Company will be sold via bank auction on March 9, 2018.
Egelston is known in his community as a leader in philanthropy and environmental efforts. He has served on the advisory boards of the NH Charitable Foundation and Currier Museum of Art; he was awarded Humanitarian of the Year by National Share our Strength; and he is a recipient of the NH Business Review Excellence in Manufacturing Award.