(James Watt / Instagram)

James Watt recently took to social media to announce that he’s getting back into the beer business, and this time he says he is bringing some old supporters along with him. The controversial co-founder and former BrewDog CEO has announced the launch of a new drinks company called Second Best. Alongside the debut, Watt says he plans to hand over nearly one-fifth of the company to former BrewDog crowdfunding investors who saw their investments disappear when the once high-flying craft beer giant unraveled.

The move arrives after a rough chapter for BrewDog. The company eventually entered administration and was sold to Tilray Brands for £33 million, a dramatic fall for a business that at one point carried a valuation north of £2 billion. For the thousands of small investors who bought into BrewDog’s much-publicized “Equity for Punks” campaign, the sale ended with an especially painful result. Their shares were wiped out entirely.

But now Watt says he wants to make things right.

James Watt

Under the proposal, original BrewDog crowdfunding backers can claim the exact same ownership percentage in Second Best that they once held in BrewDog, and they can do it without paying a penny. According to Watt, there is no buy-in, no special class of stock, and no hierarchy putting founders ahead of fans. He says the shares will carry the same standing as his own.

Watt has gone a step further by describing those investors not simply as shareholders, but as “second founders.” He says he is funding the company himself and giving away 19.3 percent of the business because he feels a personal obligation to the community that helped build BrewDog during its rise. Thousands of people trusted his promise that they were helping create something valuable, and he now says he feels responsible for delivering on that commitment in some form.

As for the new company itself, Second Best is shaping up to look very different from BrewDog’s global pub empire. Watt appears to be taking a more restrained approach this time around, focusing on smaller-scale operations and quality over expansion at all costs.

According to the Sunday Times, the initial lineup is expected to include canned beer, starting with two pale ales and a lager. Brewing will take place in Germany and elsewhere in Europe. Beer fans may have to wait a little while before cracking open a can, though. Watt says licensing requirements and legal approvals mean the company will first launch what he describes as an alcohol-adjacent concept before the beer eventually reaches shelves.

The long-term plan also includes physical locations, though on a much smaller scale than BrewDog’s worldwide footprint. Watt has hinted at opening a limited number of beer-focused venues in London and Scotland.

The announcement lands in the shadow of BrewDog’s dramatic collapse. Once one of craft beer’s biggest success stories, the company struggled through years of financial losses and mounting debt. It also faced criticism over workplace culture and allegations of toxic management practices. By the time the company was sold, debt obligations and preference shareholders stood first in line for repayment, leaving roughly 200,000 Equity Punks with nothing.

Reaction to Watt’s latest move has been predictably divided.

Some former investors see the proposal as an attempt at redemption and appreciate the gesture. Others remain deeply skeptical. Critics have been quick to point out that owning 19.3 percent of a startup with no established value does not automatically translate into meaningful compensation. Online responses have included variations of the sentiment that “19.3 percent of nothing is still nothing.”

Others have questioned the optics of the comeback itself. Critics note that Watt and BrewDog co-founder Martin Dickie reportedly made substantial sums when they partially cashed out during a deal with private equity firm TSG Consumer Partners in 2017. To some observers, the new giveaway looks less like restitution and more like reputation repair.

Still, despite the doubts, there are signs people are paying attention. Watt reported that more than 10,000 people signed up for the free equity offer within days of announcing it. Whether Second Best turns into a true second chance story or simply another chapter in one of craft beer’s most polarizing sagas remains to be seen.

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And while we’re at it, there’s this…

Controversial BrewDog CEO James Watt Steps Down

James Watt – Life After BrewDog

The Rise and Fall of BrewDog’s James Watt