Chapel Down, the largest winemaker in the UK, has revealed that it is considering a sale of the business as part of a strategic review to explore funding options to support its growth plans.
The company is looking for long-term investment to fund new vineyards and a purpose-built winery to be operational for the 2026 harvest. It noted that it would be looking at all alternatives, including investment from existing and new shareholders or selling the company altogether.
Chapel Down stated that it remains on track to deliver double-digit sales growth in 2024 and retains a strong balance sheet with headroom in its existing debt facility of £12m.
Wine production in the UK has soared in recent years, bucking the trend of falling yields in Europe and the rest of the world as hotter weather hits wine crops.
Chapel Down reported an 87% increase in pre-tax profits for the year to the end of December, to £2.3m after an “exceptional harvest” resulted in a 15% rise in revenues to £17.9m.
