Press release 19 March 2024: Thornæs Distillery adds new strength to the board after a turbulent year.

PRESS RELEASE

Fresh energy for the board and a new focus will equip Thornæs Distillery after a turbulent year

Published March 19, 2024

After a year of capital issue, a successful Equity Crowdfunding, the first releases of Thornæs Whiskey and a major remodel, the whiskey distillery in Kagerup, North Zealand, has taken several important steps forward. However, this does not mean that they now intend to slow down the pace. At the same time as the whiskey stock is growing and new concepts and partnerships are being developed, the company is now inviting new, experienced people onto the board to sharpen the focus on the business – this is necessary on top of a busy and turbulent year.

Positive feelings in turbulent times

When the board and management of Thornæs Destilleri A/S invite to this year's general meeting at the end of March, it will be with a double message to the 137 owners. On the one hand, the accounts show a clear deficit for the year. On the other hand, a lot of value and potential has been created in the company. For director and founder Torben Thornæs Andersen, it is therefore important that the story of the year is told in both present and past tense.

"It is never satisfactory to end a financial year with a loss on operations, but we must also be realistic and emphasize that this is an entire industry which has now been caught in the perfect storm for almost two years. On the one hand, there have been more spirits producers, and on the other hand, consumers have changed their consumption patterns, so that sales of high-end spirits in particular have fallen sharply. All things being equal, it must present challenges for our part of the industry", says Torben Thornæs Andersen.

When the feeling among the management is nevertheless positive, it is because during the period both more value has been created in the company and at the same time agreements have been secured that can support the business going forward.

"At the beginning of 2023, we carried out an issue that added more than DKK 4 million to the company. DKK in working capital. That capital is now invested in more production capacity, more production of whiskey as well as investments in sales and marketing. Therefore, we are in a much better place today than we were at the end of 2022. Our whiskey inventory has grown so that it now represents a nice double-digit million amount. In addition, we have managed to make agreements with partners that ensure a stable income in the coming years. Of course, you can't read those things out of our results - but the addition of value is real, and it means that overall we are optimistic about the future", says Torben Thornæs Andersen.

Reaction to Thornæs Whiskey reinforces the optimism

In October 2023, the distillery introduced its first Thornæs Whisky, and thus started the part of the product portfolio that will be the basis for the company going forward. The reactions to the whiskey have been very positive, and precisely high quality is crucial for a distillery to cope in turbulent times.

"Our whiskey has been very well received, and that is one of the reasons why we have been able to secure good cooperation agreements for the future. When you have a good basic product – and it must be said that we have that with our award-winning New Make – then the road to a well-matured whiskey becomes shorter. Therefore, we believe that our whiskey will be in high demand both now and in the long term", says Torben Thornæs Andersen.

Stifter leaves the board and makes room for fresh forces

Chairman of the board Jesper Møller has a past that includes CEO of Coca Cola and Toms Chokoladefabrikker, and he is committed to the development that has taken place since the company's inception.

"Torben Thornæs has got a company up and running from nothing in autumn 2019, when we met for the first time. Now there is a stable production of a number of tasty spirit products and some physical framework, which is continuously being developed. The jewel in the product range is a growing stock of quality whisky, which can prove to be even extremely valuable", says Jesper Møller.

As sales increase and the production of Thornæs Whiskey increases, the expectation for management and organization becomes correspondingly greater. The company is therefore pleased to be able to propose a new composition of the board at this year's general meeting. While Torben Thornæs Andersen has chosen to step down from the board, chairman Jesper E. Møller can welcome two new members with plenty of relevant skills.

Annemette V. Thomsen is a former export director and has worked with wine, spirits and confectionery in international companies. Today, Annemette works as an external senior consultant with a focus on international business development, while she is involved in several boards within high-end food.

"It is with great pleasure that I join as a new board member in this ambitious North Zealand distillery, which has already made a name for itself both in Denmark and internationally. Our goal is to become a leading player on the global stage, while at the same time valuing and preserves our local heritage and traditions. I look forward to contributing to the realization of the objectives."

Flemming Pedersen is CFO of the media company Better Collective and has worked with operations and financing in several international companies. Flemming is also a co-owner of Wysgi ApS, which is the second largest shareholder in Thornæs Destilleri A/S after Thornæs Holding ApS.

"'After following the development of Thornæs Destilleri over several years and learning about the great ambitions for the company, I am pleased to have been given the opportunity to become both a shareholder and now a member of the board. Thornæs Destilleri has come a long way in terms of to produce high-quality whiskey and gin, which is the basis of a healthy business. As a member of the board, I look forward to contributing to the company's continued growth on the solid foundation that has been created."

For further questions please contact

Torben Thornæs Andersen
Founder, Director & Head Distiller
Thornæs Distillery A/S
Mob. +45 5091 5890
Email torben@thornaes.com

or

Jesper E. Moller
Chairman of the board
Thornæs Distillery A/S
Mob. +45 2440 1414
jesper@emoeller.dk