Henderson Loggie appointed to wind up Verdant Spirits

Henderson Loggie appointed to wind up Verdant Spirits

Shona Campbell

Henderson Loggie has been appointed liquidator to Dundee-based gin producer Verdant Spirits amid mounting cash flow difficulties.

The company, known for its dry gin, had secured the Scottish Gin of the Year award in 2017 and bagged a supply deal for the House of Commons.

Stationed at Edward Street Mill in Forest Park Place, Verdant Spirits harboured plans for a gin school and a visitor centre. Over the past six months, the company had actively sought external investment, but had been beset by the twin challenges of the Covid-19 pandemic and Brexit.

Henderson Loggie insolvency partner Shona Campbell said: “Verdant Spirits encountered significant cashflow challenges as a result of the pandemic and our primary responsibility now is to oversee the winding up process and maximise returns for all stakeholders.

“We will be actively working to realise the distillery’s assets and expressions of interest are welcomed.”

Andrew Mackenzie, the founder and managing director of the company, lamented this outcome as a “sad day”, noting a personal loss of £200,000 on the venture.

Mr Mackenzie told The Courier: “We had good trading figures under our belt and had envisioned that the visitor centre and gin school would elevate our operations. However, Covid came along when we were on the brink of securing investment worth approximately £250,000.”

Verdant’s business model, which centred around its premium branding, proved to be a disadvantage as it didn’t allow for sales in supermarkets during the pandemic. Mr Mackenzie added that Brexit complexities resulted in difficulties sourcing bottles, which led to increased costs and reduced efficiency.

As part of a cost-saving process, Verdant laid off one staff member in November, and a crowdfunding campaign launched for the mill building and visitor centre development didn’t meet its target.

With the company’s debts amounting to roughly £25,000, an auction of the distillery’s equipment will be held to help pay off creditors.

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