{{Short description|Defunct brewery}} {{Use dmy dates|date=May 2017}} {{Use British English|date=May 2017}} {{Infobox company | name = Scottish & Newcastle | logo = Scottish and newcastle.jpg | logo_size = 250px | type = [[Public company|Public]] | foundation = 1749 | defunct = April 2008 | fate = Acquired by [[consortium]] of [[Heineken International|Heineken]] and [[Carlsberg Group|Carlsberg]] | location = [[Edinburgh]], Scotland, UK | key_people = Sir Brian Stewart ([[Chairman]]), John Dunsmore ([[Chief Executive]]), Wilfrid Isaachsen ([[Chief Financial Officer]]) | products = [[Beer]] | subsid = S&N UK; Alken-Maes; Beamish & Crawford; Brasseries Kronenbourg; Central de Cervejas; Hartwall; Home Ales; Mythos; Waverley TBS; S&N Pub Company }}
'''Scottish & Newcastle plc''' was a [[brewing]] company headquartered in [[Edinburgh]], Scotland, which expanded from its home base to become an international business with [[beer]] volumes growing almost tenfold.
The company was listed on the [[London Stock Exchange]] until it was acquired by [[Heineken International|Heineken]] and [[Carlsberg Group|Carlsberg]] in 2008 and its assets split between them. The name Scottish & Newcastle continued to be used for the UK trading operation of Heineken International until 2009, when it was renamed Heineken UK.<ref>{{Cite web|url=https://www.morningadvertiser.co.uk/Article/2009/09/28/Scottish-Newcastle-to-become-Heineken-UK|title=Scottish & Newcastle to become Heineken UK|website=morningadvertiser.co.uk|date=27 September 2009 }}</ref>
The former S&N Pub Enterprises leased pub division was rebranded as S&N Pub Company after the takeover. In 2012, it was rebranded again to [[Star Pubs & Bars]], bringing an end to Scottish & Newcastle brand.<ref>{{Cite web|url=https://www.hospitalityandcateringnews.com/2012/11/heineken-drops-s-n-for-star-pubs-bars/|title=Heineken drops S & N for Star Pubs & Bars|date=15 November 2012}}</ref>
==History== [[File:Wm Younger portrait.jpg|thumb|upright|Portrait of William Younger by Alan Ramsay]] The origins of the company can be traced to Grizel Syme who ran her late second husband's brewery: this brewery and those of her sons developed into the firm of William Younger & Co.<ref name=hub>{{Cite web |publisher=Archives hub |title=Records of William Younger & Co Ltd, brewers, Edinburgh, Scotland |date=July 2009 |url=http://www.archiveshub.ac.uk/news/wyounger.html |access-date=2009-07-25}}</ref> It merged with [[McEwan's]] in 1931 becoming Scottish Brewers.<ref name=hub /> In 1960 it merged again this time with [[Newcastle Brown Ale|Newcastle Breweries]] to form Scottish & Newcastle.<ref name=hub />
By 1985, the company had become a regional brewer focused on Scotland and the [[North of England]].<ref>{{Cite book|url=https://doi.org/10.1057/9781137466181_16|title=Brewing, Beer and Pubs: A Global Perspective|first1=Alex|last1=Gillett|first2=Kevin|last2=Tennent|first3=Fred|last3=Hutchinson|editor-first1=Ignazio|editor-last1=Cabras|editor-first2=David|editor-last2=Higgins|editor-first3=David|editor-last3=Preece|date=27 April 2016|publisher=Palgrave Macmillan UK|pages=303–320|via=Springer Link|doi=10.1057/9781137466181_16}}</ref>
By 1995, with the purchase of rival brewing business [[Courage (brewery)|Courage]], S&N had become the UK's leading brewer.<ref>{{cite news|url=https://www.theguardian.com/business/2007/jan/17/6|title=S&N agrees to sell Courage|date=17 January 2007 | newspaper=The Guardian|access-date=18 March 2024}}</ref>
In early 2000, S&N expanded outside the UK via a number of acquisitions in Western Europe, growing sales to over 50 Mhl per annum. Acquisitions included [[Kronenbourg]].<ref name="find2">{{cite news|url=http://www.findarticles.com/p/articles/mi_qn4158/is_20000321/ai_n14283654 |work=[[The Independent]] |title=Scottish & Newcastle acquires Kronenbourg in £1.7bn deal |access-date=2007-04-12 |url-status=dead |archive-url=https://web.archive.org/web/20071005012102/http://findarticles.com/p/articles/mi_qn4158/is_20000321/ai_n14283654 |archive-date=2007-10-05 }}</ref>
By acquiring [[Hartwall]] in 2002, Finland's leading beverage company business, S&N became 50% owners of [[Baltic Beverages Holding]] (BBH) encompassing brewing interests in Russia, Ukraine, Kazakhstan and the Baltic Countries of Latvia, Lithuania and Estonia.<ref>{{Cite news |publisher=BBC News |title=S&N gulps Hartwall and moves into Russia |date=15 February 2002 |url=https://www.independent.co.uk/news/business/analysis-and-features/sampn-gulps-hartwall-and-moves-into-russia-660776.html |archive-url=https://web.archive.org/web/20090706074024/http://www.independent.co.uk/news/business/analysis-and-features/sampn-gulps-hartwall-and-moves-into-russia-660776.html |url-status=dead |archive-date=6 July 2009 |access-date=2009-01-01 |location=London|first=Nigel|last=Cope}}</ref> The remaining 50% of BBH was owned by [[Carlsberg Group|Carlsberg]], which gained full control after the takeover of S&N in 2008.<ref>{{cite web |title=Baltika Brewery |url=http://www.carlsberggroup.com/Company/Markets/Pages/Russia.aspx |publisher=[[Carlsberg Group]] |access-date=2008-04-30}}</ref>
In July 2003, S&N acquired the [[H. P. Bulmer|Bulmers]] cider business, adding the [[Strongbow Cider|Strongbow]], [[Scrumpy Jack]] and [[Woodpecker Cider|Woodpecker]] brands to its portfolio, together with the UK's biggest cider mill and orchards in Hereford.<ref>{{Cite news |work=The Guardian |title=£278m Bulmers buy completes S&N u-turn |date=29 April 2003 |url=https://www.theguardian.com/business/2003/apr/29/9 |access-date=2009-01-01|location=London|first=Jill|last=Treanor}}</ref>
In November 2003, S&N sold its remaining pub estate to the [[Spirit Pub Company|Spirit Group]] – retaining a successful tenanted pub management business (S&N Pub Company<ref>[http://s-npubcompany.co.uk/ S&N Pub Company]</ref>) with contracts to look after some 2,000 pubs on behalf of banks and other pub companies.<ref>{{Cite news |work=The Guardian |title=Pub sector recast as S&N sells retail division |date=7 October 2003 |url=http://business.timesonline.co.uk/tol/business/article1167145.ece |archive-url=https://web.archive.org/web/20110612090203/http://business.timesonline.co.uk/tol/business/article1167145.ece |url-status=dead |archive-date=12 June 2011 |access-date=2009-01-01|location=London|first=Dominic|last=Walsh}}</ref>
In 2004 some radical cost-cutting measures were introduced, particularly within the UK where it was noted by analysts that the cost base was too high. During the year, the [[McEwan's Brewery|Fountain Brewery]] in Edinburgh was closed, followed some months later by the Tyne Brewery in [[Newcastle upon Tyne|Newcastle]]. This was followed in 2005 by the closure of distribution depots at Bow, Chelmsford and Maidstone with the task being integrated into Dagenham Regional Distribution Centre and depots at Hackbridge and Croydon with the remainder of the London accounts being served by Greenford. The company began to use transit points in Chelmsford and Faversham as cheap logistical alternatives to full working depots. Reciprocal acquisitions saw the [[Caledonian Brewery]] in [[Edinburgh]] and the Northern Clubs' Federation Brewery in [[Gateshead]] added to the business.<ref>{{Cite news |publisher=BBC News |title=Further fears after brewery cuts |date=18 February 2004 |url=https://news.bbc.co.uk/2/hi/uk_news/scotland/3496871.stm |access-date=2009-01-01}}</ref>
In February 2005, Scottish & Newcastle and Carlsberg UK finalised a joint venture to carry out Technical Services work in the UK. Service Dispense Equipment Limited (SDEL) was formed from the dispense assets of both businesses.<ref>{{Cite news |publisher=Edinburgh News |title=Brewing big guns are refused another drink |date=11 March 2005 |url=http://edinburghnews.scotsman.com/business/Brewing-big-guns-are-refused.2609602.jp |access-date=2009-01-01}}</ref>
In 2006, S&N entered into a joint venture with the Swiss-based freight company, [[Kuehne and Nagel]] to set up a UK drinks distribution company (K+N Drinks Logistics). Some 3,000 S&N employees transferred to the new business.<ref>{{Cite news |publisher=Manufacturing News |title=Unions angered by Scottish & Newcastle's latest venture |date=26 April 2006 |url=http://www.themanufacturer.com/uk/content/6529/Unions_angered_by_Scottish_&_Newcastle%92s_latest_venture?PHPSESSID=58e4ea21ea9228363c0ef41a1fa40636 |access-date=2009-01-01}}{{dead link|date=December 2017 |bot=InternetArchiveBot |fix-attempted=yes}}</ref>
On 17 October 2007, [[Heineken International]] and [[Carlsberg Group|Carlsberg]] jointly announced that they were considering forming a consortium to bid for, and acquire the total capitalisation of Scottish & Newcastle. No formal offer had been put to S&N at the time.<ref>{{Cite news |publisher=BBC News |title=Bid plan for Scottish & Newcastle |date=17 October 2007 |url=https://news.bbc.co.uk/2/hi/business/7048796.stm |access-date=2007-10-31}}</ref> On 25 October, however, Heineken and Carlsberg announced that they had submitted a written proposal to S&N. They invited S&N to discuss a possible offer, the terms as to which they were prepared to proceed included a bid of 720 pence per share.<ref>{{cite press release |title=Heineken N.V. and Carlsberg A/S approach to Scottish & Newcastle plc |publisher=Heineken N.V. |date=25 October 2007 |url=http://www.heinekeninternational.com/071025heinekennvpressrelease.aspx |access-date=2007-10-25}}</ref> The offer was immediately rejected by the Board of S&N, who believed that it significantly undervalued the worth of the S&N group.<ref>{{cite press release |title=REG-Scot.& Newcastle Statement re Possible Offer |publisher=Scottish & Newcastle PLC |date=25 October 2007 |url=http://www.scottish-newcastle.com/snplc/ir/fininfo/finnews/rnsitem?id=1193319469nRNSY3731G |access-date=2007-10-31}}</ref> On 31 October, S&N announced that it had requested the Danish Courts to begin arbitration proceedings between itself and Carlsberg A/S in relation to the latter's alleged contractual infringements, relating to the joint ownership of Baltic Beverages Holdings (BBH). Carlsberg immediately countered that it believed S&N's claims were "spurious and without merit".<ref>{{cite news |title=REG-Scot.& Newcastle Statement re Possible Offer |publisher=Reuters |date=31 October 2007 |url=http://investing.reuters.co.uk/news/articleinvesting.aspx?type=mergersNews&storyID=2007-10-31T170126Z_01_L31805990_RTRIDST_0_SCOTTISH-NEWCASTLE-BBH-UPDATE-1.XML |access-date=2007-10-31}}{{dead link|date=June 2021|bot=medic}}{{cbignore|bot=medic}}</ref>
A new offer was made public on 15 November 2007 by Carlsberg and Heineken, raising the offer to 750 pence per share. The partners claimed this was "substantially in excess of the standalone independent value of S&N".<ref>{{cite press release |title=Carlsberg A/S and Heineken N.V. - full and fair proposal made to Scottish & Newcastle PLC |publisher=Carlsberg A/S |date=15 November 2007 |url=http://www.carlsberggroup.com/media/News/Pages/19_151107.aspx |access-date=2007-11-15}}</ref> On 17 January 2008, S&N announced that it was now in formal discussions with the consortium, following a revised proposal to purchase the business for £8 per share.<ref>{{cite press release |title=Discussions with Carlsberg A/S and Heineken N.V. |publisher=S&N plc |date=17 January 2008 |url=http://www.scottish-newcastle.com/snplc/media/news/2008/2008-01-17/ |access-date=2007-11-15}}</ref>
On 25 January 2008, following limited due diligence and discussions with S&N, the consortium announced a formal cash offer for the entire S&N business at £8 per share. This offer had the full support of the S&N Board and was recommended to shareholders.<ref>{{cite news |title=S&N accepts £7.8bn takeover deal |publisher=BBC News |date=25 January 2008 |url=https://news.bbc.co.uk/1/hi/business/7208341.stm |access-date=2009-01-01}}</ref>
On 31 March 2008, shareholders approved the £7.8 billion takeover by Heineken and Carlsberg.<ref>{{cite news |title=Scottish & Newcastle shareholders agree takeover |publisher=BBC News |date=31 March 2008 |url=https://news.bbc.co.uk/2/hi/business/7322668.stm |access-date=2009-01-01}}</ref> The acquisition was completed on 29 April 2008 as S&N's shares were [[delisting (stock)|delisted]] from the [[London Stock Exchange]].<ref>{{cite news |last=Bradley |first=Jane |title=S&N sails into history as brewer taken over |url=http://business.scotsman.com/fooddrinkagriculture/SN-sails-into-history-as.4028900.jp |date=29 April 2008 |work=[[The Scotsman]] |access-date=2008-04-30}}</ref>
On 23 November 2009, the company changed its name to Heineken UK Ltd. to reflect the owner's name.<ref>[http://www.morningadvertiser.co.uk/news.ma/ViewArticle?R=84540 Scottish & Newcastle to become Heineken UK] ''Morning Advertiser'', 28 September 2009</ref>{{dl|date=January 2026}}
==Breweries== [[File:John Smith's (5937152877).jpg|thumb|right|John Smith's Brewery, Tadcaster]] Scottish & Newcastle employed 40,000 people in the United Kingdom and mainland Europe, brewing beer at: *The Fountain Brewery, [[Edinburgh]] – closed 2004 *[[Caledonian Brewery]], [[Edinburgh]] – closed 2022<ref>{{cite web |title=Heineken to close historic Caledonian Brewery in Edinburgh |url=https://brauwelt.com/en/international-report/europe-russia/644512-heineken-to-close-historic-caledonian-brewery-in-edinburgh |publisher=Brauwelt |access-date=10 January 2024}}</ref> *The Tyne Brewery, [[Newcastle upon Tyne]] – closed 2005 *The Federation Brewery, [[Gateshead]] – bought 2004, closed 2010 *T & R Theakston's Brewery, [[Masham]] (S&N had a majority holding in this brewery. It is now once again owned by the Theakston family) *[[John Smith's Brewery]], [[Tadcaster]] *The Berkshire Brewery, [[Reading, Berkshire|Reading]] (closed April 2010) *The Royal Brewery, [[Manchester]] *Beamish Brewery, [[Cork (city)|Cork]] *Crawford Brewery, Cork
==Operations== S&N owned or co-owned three of the top ten beers in Europe. *[[Baltika]] (stake acquired by Carlsberg) *[[Foster's Lager|Foster's]] (European rights, now owned by Heineken) *[[Kronenbourg]] 1664. (now owned by Carlsberg, although S&N UK/Heineken retain UK rights on a 50-year supply contract)
In addition to these key brands, its portfolio included other well-known drinks brands (acquirer in brackets): *[[John Smith's Brewery|John Smith's]] (Heineken) *[[Strongbow Cider]] in the UK. (Heineken) *[[Sagres (beer)|Sagres]] in Portugal (Heineken) *[[Lapin Kulta]] in Finland (Heineken) *[[Mythos Brewery|Mythos]] in Greece (stake acquired by Carlsberg) *[[Maes pils]] in Belgium (Heineken) *[[United Breweries Group|Kingfisher]] in India (stake acquired by Heineken) *[[Beamish and Crawford|Beamish Stout]] in Ireland (Heineken) *[[Bulmers|Bulmers Cider]] in the UK. (Heineken) *[[Newcastle Brown Ale]], heartland in the North East of England. (Heineken) *[[Grimbergen (beer)|Grimbergen]], a Belgian Abbey beer. (Carlsberg) *[[McEwan's]] in Scotland. (Heineken) *[[William Younger (brewery)|Younger's]] in Edinburgh, Scotland. (Heineken) *[[H & G Simonds Ltd|Simonds]] of Reading, Berkshire. (Wells & Young)
Brands licensed to them included: *Beamish *[[Courage Brewery|Courage]] *[[Foster's Lager|Foster's]] *[[Kronenbourg]] *[[McEwan's Brewery|McEwan's]] *[[Newcastle Brown Ale]] *[[John Smith's Brewery|John Smith's]] *Websters
The [[Hofmeister Lager|Hofmeister]] brand was a 3.2% [[abv]] [[pale lager]] produced by Scottish Courage (later Scottish & Newcastle) from the 1980s to 2003.<ref>{{cite web |url=http://www.brandrepublic.com/news/192212/follow-bear-door-hofmeister-axed/ |title=Follow the bear... out the door as Hofmeister is axed - Brand Republic News - Brand Republic |publisher=www.brandrepublic.com |access-date=2010-03-02 }}</ref><ref>{{cite web |url=http://www.ratebeer.com/beer/hofmeister/15845/ |title=Hofmeister from Berkshire (Heineken) - Ratebeer |publisher=www.ratebeer.com |access-date=2010-03-02 }}</ref> The brand was marketed in the 1980s with a series of advertisements featuring a bear, George, with a shiny, yellow jacket and a [[pork pie hat]].<ref>{{cite news |url=https://news.bbc.co.uk/1/hi/business/3188382.stm |title= The death of cheap lager |access-date=2010-03-02 | date=2003-10-16 | work=BBC News | first=Brian | last=Wheeler}}</ref> In 2016, the Hofmeister brand returned with a new 5% recipe.<ref>{{Cite news|url=https://www.theguardian.com/business/2016/nov/21/george-the-bear-hofmeister-lager-facebook-twitter-craft-ale|title=George the bear seeks new followers as Hofmeister lager returns|last=Davies|first=Rob|date=2016-11-21|work=The Guardian|access-date=2017-09-15|language=en-GB|issn=0261-3077}}</ref><ref>{{Cite web|url=http://www.theweek.co.uk/78589/follow-the-bear-hofmeister-brings-george-out-of-hibernation|title=Follow the bear: Hofmeister brings George out of hibernation|website=The Week Portfolio|date=11 November 2016 |language=en|access-date=2017-09-15}}</ref>
==Division of the business between the Carlsberg/Heineken consortium==
'''Heineken acquired:'''
S&N UK; [[Beamish and Crawford]] – [[Republic of Ireland|ROI]]; [[Hartwall]] – Finland; [[Alken Maes]] – Belgium; [[Central de Cervejas]] – Portugal; Indian JV with UB; US export business and other venture markets.<ref>{{Cite web|url=https://www.reuters.com/article/us-scottishnewcastle-idUSL2338824920080125|title=Carlsberg, Heineken agree $15.3 billion S&N deal|date=25 January 2008|work=Reuters}}</ref>
'''Carlsberg acquired:'''
Remaining 50% of Baltic Beverages Holdings; [[Kronenbourg]] – France; [[Mythos (beer)]] – Greece; Chongqing joint venture in China; Venture markets:- Switzerland; Africa; Hungary; Luxembourg; Indian Ocean; South and Central America and Asia.
==References== {{reflist|2}}
==External links== *[https://archiveshub.ac.uk/data/gb0248-new Records of Newcastle Breweries, Ltd, 1912-1993] {{Webarchive|url=https://web.archive.org/web/20160304055554/http://archiveshub.ac.uk/data/gb0248-new |date=4 March 2016 }}
{{Authority control}}
{{DEFAULTSORT:Scottish and Newcastle}} [[Category:Breweries in Scotland]] [[Category:Companies based in Edinburgh]] [[Category:Companies formerly listed on the London Stock Exchange]] [[Category:British companies established in 1749]] [[Category:British companies disestablished in 2008]] [[Category:British royal warrant holders]] [[Category:1749 establishments in Scotland]] [[Category:Defunct breweries of the United Kingdom]] [[Category:2008 disestablishments in Scotland]] [[Category:2008 mergers and acquisitions]] [[Category:Food and drink companies established in 1749]]