A Kent-based sparkling wine maker backed by Lord Ashcroft is raising up to £6.2million to slash its debt and expand the business.
Ashcroft, a former vice chairman of the Conservative Party is currently a 68% shareholder in Gusbourne. Its shares are listed on the junior AIM markets.
Andrew Weeber (South African born orthopaedic surgeon) started planting grapevines on the Gusbourne estate near Ashford in 2004. It now boasts 231 acres of land in Kent and West Sussex.
Brit fizz: Gusbourne, which has become one of the biggest luxury English sparkling wine sellers, will sell more than 8m new shares at 75p each
He spent nearly a decade turning the former ‘turnip patch’ into a vineyard before selling control to Ashcroft in 2013 for £7million.
Many of Gusbourne’s vintages have won awards and it has become one of the biggest luxury English sparkling wine sellers.
It will sell more than 8m new shares at 75p each – down from 95.5p on Friday’s closing price.
Ashcroft’s wine investment vehicle has agreed to underwrite the share sale by up to £2million if the stock is not taken by other investors.
The popularity of English sparkling wines has increased over the last decade.
Most of the 100 or so wineries are in the south of England – particularly the South East – which has soil very similar to that of the Champagne-growing region in France.
Gusbourne shares dropped 0.5% or 0.5p to 95p.