Good Drinks Australia (GDA) has announced that it has made the strategic decision to sell the Atomic Brewpub in the Sydney suburb of Redfern, along with the Atomic beer brand.
The company said it has made the decision as part of its ongoing efforts to “optimise its portfolio and focus on its core assets and associated brands.
In its half-year results released in February GDA said of the Redfern venue, “Despite recently trending in a positive direction Atomic Redfern is not currently reaching its potential in tough trading conditions, down $0.2m in EBITDA vs H1 FY23.
“The hospitality team is adjusting the operating model to suit conditions, maintaining the brand presence as we consider divestment opportunities of this non-core asset.”
In announcing its intention to sell the brewpub, GDA highlighted some of the key features of the venue, including:
- Annual brewing capacity of 250,000 litres of craft beer
- State of the art DME 12.5HL brewhouse, extensive fit-out and kitchen facilities
- Producer and wholesale liquor license
- Building area of 578m2, crowd capacity 200 pax
- Corner location near to the new Waterloo station precinct.
Commenting on the sale, Managing Director of Good Drinks Australia, John Hoedemaker, said: “The decision to sell Atomic Redfern was not taken lightly. However, as part of our strategic review and our previously stated emphasis on ‘fewer, bigger, better’, we believe that focusing our resources on our core brewing operations and other scaled hospitality venues will deliver greater value for our shareholders in the short-term.
“The Atomic brand is well-built and has enormous potential, as does the venue and I have no doubt that under the right ownership the venue and the brand will continue to flourish.”
GDA also said that the sale presents the prospective buyer with the opportunity to acquire a well-established brewpub, with a strong reputation for quality and that the business is committed to ensuring a smooth transition for both staff and patrons during this process.