Press Release - January 9, 2023: Whiskey Distillery Uses Equity Crowdfunding

Kagerup January 9, 2023

North Zealand's first whiskey distillery uses Equity Crowdfunding as a launching pad for growth

When Thornæs Destilleri in Nordsjælland opens its doors for the purchase of shares on 11 January, it will be done with the help of Equity Crowdfunding – a funding model which is still very little widespread in Denmark. The goal is a scaling of whiskey production as well as resources to start the international growth – and with Equity Crowdfunding, the founder of the company hopes to kill several birds with one stone.

At the start of 2020, Thornæs Destilleri became the first whiskey distillery in North Zealand. For founder Torben Thornæs Andersen, the aim has always been to make the distillery's whiskey known on the international stage, but as you know, whiskey is not something you make in one morning. This makes financing a key word in the growth journey.

"In the first years, we have managed primarily with organic growth and a small handful of key investors, and this has created good added value in the company. But if we are to achieve the goal of turning our Danish whiskey into an international brand, it requires us to take some long steps forward," says Torben Thornæs, thus revealing that the plans point further ahead than this one round of funding.

Whiskey and Crowdfunding are a 'match made in Heaven'

For Torben Thornæs, crowdfunding is an ideal way to achieve the distillery's goals, because there is nothing that can bring people together like whiskey.

"Whiskey has always brought people together. There are whiskey clubs in all parts of Denmark, and the whiskey fairs are full of groups of friends who have whiskey as their shared passion. That's why crowdfunding is a really good choice in this phase, and I hope that many people will want to join forces and become part of our journey", says Torben Thornæs.

While crowdfunding as a concept is ideal for creating a broad and diverse ownership structure, it is also the way to obtain a wide-ranging network of ambassadors.

"With Equity Crowdfunding, we issue a form of public shares where everyone is invited to participate. A company like ours thrives on people getting involved and supporting the long-term goal", says Torben Thornæs.

Growth stock exchange is the next target

The long-term goals are precisely the reason why the distillery has chosen a Swedish partner as financing partner. Finreg Solutions in Malmö handles the process together with Nordic Issuing, and both companies belong to the Swedish Spotlight Group, which is best known for its growth exchange for small and medium-sized companies.

Jesper Møller, who is chairman of the board at Thornæs Destilleri, emphasizes that the company has embarked on a growth course with its choice of partner.

"When you look at the needs of this type of business, it is essential to have a good and long-term financing solution. Whiskey production is capital-intensive, especially at the start, when a stock of maturing whiskey must be built up. Therefore, this first round is designed as a step towards an IPO on the Spotlight Stock Market. An IPO will suit the company well and increase the possibilities of obtaining additional capital for growth - and we can see that several Swedish distilleries have been successful in going public," says Jesper Møller.

From his time as director of Coca-Cola and Toms Gruppen, the chairman of the board is well aware of the challenges in the FMCG market. But where the storage of soft drinks and sweets and chocolate should preferably be as small as possible, he is more comfortable with the idea of ​​a large whiskey warehouse.

"Unlike so much else, whiskey rarely gets too old. We are in the unique position that the distillery's whiskey barrels become more valuable over time, and as the world market develops, there is a huge sales potential", says Jesper Møller.

Thornæs Whiskey is going out into the big world

The world market for whiskey is estimated to rise from a small $60 billion. US dollars in 2019 to over $86 billion. US dollars in 2027. At the same time, the market has been drained of old whiskey in particular, which has opened consumers' eyes to different whiskey bottlings and not least whiskey from new regions.

"Whisky has fortunately started to be about more than 12-year-old bottlings from Scotland. And it gives distilleries like us new opportunities to engage in dialogue with international partners and consumer groups. That's why I also think that our plans for growth come at exactly the right time," says Torben Thornæs.

The first round of funding will enable the company to build up an inventory, but also to scale production so that the supply of new barrels grows at a faster pace. Last but not least, resources must be put into a sales office with a focus on export.

"Our strategy rests on three important pillars, and they are the ones we are now raising capital for. We must put more whiskey in stock, we must increase the pace of production, and we must have opened up the sales channels so that the necessary traction is ensured through the value chain. When we look ahead to 2030, 80% of our production must be sold abroad - but the work already starts today," says Torben Thornæs.

For further information contact:

Torben Thornæs Andersen
Founder, MD and Head Distiller
Thornæs Distillery A/S
Mob. +45 5091 5890
Mail torben@thornaes.com

Facts about Thornæs Destilleri A/S

Find the most recently updated information about Thornæs Distillery in the fact sheet, which you will find on the blog page.