BrewDog Founder James Watt Faces Data Complaints Over Share Buyback Attempt
James Watt, co-founder of Scottish craft beer firm BrewDog, is facing formal complaints to the Information Commissioner's Office (ICO) concerning his reported efforts to repurchase shares from former investors. The complaints allege that Watt directly contacted thousands of past shareholders, offering to acquire their stakes as part of a strategy to take the company private with the assistance of private equity firm TSG Consumer Partners.
Reports suggest Watt's approach included sending letters and emails to individuals who had previously invested in BrewDog's 'Equity for Punks' crowdfunding scheme. This direct outreach has prompted questions regarding the provenance and use of shareholder data, particularly whether appropriate consents were in place for such communications.
The ICO has confirmed receipt of complaints and stated it will be assessing the information provided. The watchdog's role is to ensure organisations comply with data protection laws, including the General Data Protection Regulation (GDPR) and the Data Protection Act 2018.
BrewDog had previously confirmed that Watt was exploring options for a private equity transaction. The company's valuation has been a subject of ongoing debate, particularly after reports surfaced in 2023 of a potential valuation of approximately £300 million for a minority stake, a significant reduction from earlier valuations.
Neither James Watt nor BrewDog have publicly commented on the specifics of the ICO complaints at this time. The ICO's assessment could lead to further investigation if potential infringements of data protection legislation are identified.