This is just a small write-up I did of Artisanal Spirits Company. It's a really interesting company.
Hopefully it will be of interest to any current, or prospective, shareholders. Full disclaimer, I do hold shares in the company.
Is it time to add some whisky to your portfolio?
Artisanal Spirits Company is based in Edinburgh.
It’s flagship brand is the The Scotch Malt Whisky Society (SMWS) which currently has over 29,400 paying members from around the world.
Company Overview
The Artisanal Spirits Company’s flagship brand is The Scotch Malt Whisky Society, which curates unique ultra-premium single cask Scotch malt whiskies and other spirits.
Sales are made exclusively to its subscription-paying members, of which there are just over 29,400 according to the latest update. Members pay an annual subscription currently priced at £65.
TSMWS selects casks from over 100 primary producers. They then actively manage the maturation process, which is the key stage to developing multiple flavours. Once the process is complete, the finished product is sold directly to members. Its product prices typically range from £45 to over £1,500 per bottle.
Only 250 bottles of each new edition is sold, making this rare, exclusive, and highly desirable for members.
Currently 90% of sales are made direct to consumer (D2C), via its own website. Remaining sales also come via partner bars situated around the world.
In 2017 the Company acquired the legal rights to the J.G. Thomson & Co. brand with the vision of reviving its renowned blended whisky heritage.
The relaunch the J.G. Thomson & Co. brand should happen this year. Bottles are already being pre-sold via the website. This brand will also be sold via supermarkets, clubs, bars, and other retail outlets.
Brief History
The Scottish Malt Whiskey Society was started in 1983 by malt whisky enthusiast Philip “Pip” Hills.
Mr Hills who had experience of forming syndicates, started to purchase single casks of malt whisky for maturation and bottling.
He later made the decision to broaden the process by forming a membership group, which had its first premises in the Vaults in Leith, Edinburgh.
If you’re interested in learning more about the history of the club I would suggest reading Mr Hill’s book called The Founder's Tale: A Good Idea and a Glass of Malt which details the early days of his venture.
In 2005 The SMWS was acquired by malt whisky distiller Glenmorangie, which was itself taken…
