Powerscourt Distillery seeks buyer
Irish whiskey producer Powerscourt Distillery has been put up for sale after entering receivership in June this year.
Powerscourt Distillery, based in Enniskerry, County Wicklow, appointed Mark Degnan of Interpath Advisory as its receiver on 26 June to manage and sell its assets.
Interpath is seeking offers for the purchase of a majority stake in Powerscourt Distillery, known for its Fercullen whiskey brand.
In a document seen by The Spirits Business, the distillery’s inventory of premium whiskey is valued at approximately €33 million (US$38m).
The company’s revenue reached €3.9m (US$4.5m) last year, down from €5.3m (US$6.1m) in 2023 due to ‘challenging market conditions’.
Powerscourt was particularly affected by a decline in China, where sales were close to zero in 2024, compared with sales of approximately €500,000 (US$578,410) in 2023. However, the business noted its Chinese importer is expected to begin reordering stock this year.
Bulk distillery sales also plunged by approximately €611,000 (US$706,236) because of a ‘softening’ Irish whiskey sector.
Between 2019 and 2023, the business rose at a compound annual growth rate (CAGR) of 19%, led by the Fercullen brand (up 93% CAGR) and the visitor centre (up 19% CAGR).
Powerscourt has the potential to increase its production capacity to 680,000 litres per annum (LPA), up from 360,000 per year. The site can reach one million LPA if it gains further investment.
Two shareholders of the company petitioned the court for the appointment of Joseph Walsh as its interim examiner to save the business on 30 June. However, the business re-entered receivership last month after the bid to appoint an examiner was withdrawn, following an objection from PNC Bank.
Powerscourt owes €21.5m (US$24.8m) to PNC Business Credit through a master financing agreement. PNC had provided a €25m (US$27.4m) loan to Powerscourt in 2023 to drive the brand globally.
In April last year, Powerscourt confirmed it was “continuously examining options to secure additional growth capital” to boost its production capabilities, enhance brand development and support market expansion. The statement was made in response to a report that it was exploring a sale of the business.
The Spirits Business has approached Interpath for comment. PNC did not provide a comment and Powerscourt said it had no statement to make, directing enquiries to Interpath.
Founded in 2016, Powerscourt Distillery produces Irish single malt and pot still whiskey. The 1,950-square-metre site also includes a visitor centre (which opened in 2019), office space and a 930sqm warehouse. It also has three off-site warehouses.
The whisky industry is facing a global downturn in consumer demand, higher taxes and increased costs across the supply chain.
Last month, fellow Irish producer Killarney Brewing & Distilling Company entered liquidation after failing to secure investment.
Irish whiskey makers Roe & Co, Tullamore Dew, Midleton Distillery and Dublin Liberties Distillery have also put a pause on production this year.
Exports of Irish whiskey rose by 13% in value last year to €1 billion (US$1.04bn).
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