LONDON, UK: Chapel Down, England’s leading and largest winemaker, expressed its intention to seek admission of the entire issued share capital of the company to trading on AIM at London Stock Exchange, according to a release.

Chapel Down also published an update on its record breaking 2023 harvest with tonnage 86% higher than 2022.

Chapel Down is England’s leading and largest wine producer with an award-winning range of sparkling and still wines, under the Chapel Down brand.

The Company owns, leases and sources from 1,023 acres of vineyards in South East England, of which 750 acres are fully productive, making it the largest wine producer in the UK.

The Company sold 1.41 million bottles of wine in 2022, generating revenue from off-trade, on-trade, export, and direct to consumer e-commerce and retail sales.

The Company continues to build its status as the leading brand of the English wine industry, with awareness of 37% as at June 2023, supported by its partnerships (including with the England and Wales Cricket Board and Ascot Racecourse) and events.

The Company also welcomes approximately 60,000 visitors a year for winery tours and tastings at its brand home and retail experience in Tenterden, Kent.

Chapel Down has a consistent track record of delivering profitable growth, with an 80% increase in net sales revenue (NSR) to £15.6 million between FY19 and FY22.

In addition, the Group has retained a strong balance sheet through its current investment phase, ending FY22 with net cash of £3.3 million and a currently undrawn £12.0 million revolving credit facility (RCF) providing additional liquidity.

 In the six months to 30 June 2023, the Company reported year-on-year NSR growth of 21% to £8.4 million with EBITDA growth of 36% to £1.2 million, tracking ahead of sales, as a result of on-going scale efficiencies and a focused premiumisation strategy. The Board also re-confirmed its expectation to deliver double digit NSR growth and sustained margins in FY23.

The board of directors of Chapel Down considers a move to AIM will be in the best interests of the Company and its shareholders and given the growing scale of the business, is a more appropriate market for the Company and will enable it to attract a wider pool of investors and improve liquidity over time. 

The Company has 159,253,885 ordinary shares in issue as at the date of this announcement. The Company has 14,322,158 A1 shares of £0.0001 each and 3,800,000 A2 shares of £0.0001 each in issue.

Andrew Carter, Chief Executive Officer of Chapel Down, commented:  “We are pleased to announce Chapel Down’s plan to admit its shares to trading on AIM, a move which reflects the maturity of the business and the ambitious growth plan we are committed to delivering in the years ahead. Chapel Down has greatly benefitted from its AQSE listing over the past 20 years as it has grown from a start-up in an embryonic industry into England’s leading and largest winemaker with a consistent track record of profitable growth.

“We believe that a move to AIM will attract a wider pool of investors to participate in Chapel Down’s growth as the leading producer in the world’s newest global wine region and as we continue to pursue our well progressed and fully funded plan to double the size of the business in the five years to 2026.

Today’s confirmation of a record 2023 harvest, with tonnage 86% higher than 2022 and 75% higher than the previous record posted in 2018, is creating great excitement within our business, and will underpin our strategic ambition to double the size of the business by 2026 as we continue to build Chapel Down’s position as England’s number one and most celebrated winemaker.”