Empire Beer Group is considering opening its second Colonial Brewery Co pub in Perth after abandoning negotiations with Warren Mead to acquire the restaurateur’s Oyster Bar venue in Fremantle.
Empire Beer Group is considering opening its second Colonial Brewery Co pub in Perth after abandoning negotiations with Warren Mead to acquire the restaurateur’s Oyster Bar venue in Fremantle.
The brewer had planned to develop Mr Mead’s Oyster Bar site into a Colonial Brewing Co pub.
Empire Beer Group Ltd managing director Phil Gallagher told WA Business News the brewery was no longer in discussions with Mr Mead but was considering two other sites.
WA Business News understands one of the potential sites is in Fremantle, while the other is in Perth.
Mr Gallagher said he was confident Empire would open a sister outlet to its existing Margaret River pub by the end of the year.
He said if the Empire board opted to develop its second brewery outside of Fremantle it would still plan to open a pub at the port city in the future.
“Fremantle is such a busy spot but it is all about getting the right spot under the right conditions,” Mr Gallagher said.
“For us it is about making the right decision at the right location at the right time.”
Mr Gallagher would not comment on why negotiations with Mr Mead broke down.
Empire had planned to buy the site using $2 million in oversubscriptions to its $6.4 million initial public offering last year.
However, it failed to secure the additional funds.
WA Business News understands that lease negotiations broke down over the venue’s lease and restaurant licence.
Empire’s three-month exclusive rights to negotiate with Mr Mead ended earlier this month.
Shares in Empire, which listed on January 9, are trading at around 23 cents, well below its 35-cent issue price.
Meanwhile, Oz Brewing Ltd’s plans to open a Mad Monk brewery at the old Miss Maud’s site on the Fremantle cappuccino strip have suffered construction delays.
The venue was planned to open by June 31, however Oz Brewing managing director Trevor Pugh told WA Business News that, while the fit-out of the site was progressing well, the venue would not be open until the first quarter of the new financial year.
Mr Pugh said the brewer had developed its Mad Monk brand and was looking forward to opening in the heart of Fremantle later this year.
Shares in Oz Brewing, which listed on December 27, were trading at about 12 cents this week, which is 40 per cent below their 20-cent issue price.
The collapse of the sale of Mr Mead’s Fremantle Oyster Bar has raised questions in the hospitality industry about whether Mr Mead would progress with the development of his fifth Oyster Bar to be built at the bottom of Exchange Plaza off St Georges Terrace.
Mr Mead has occupied the lease of the ground-floor site for the past two years but has not yet developed a restaurant.
Industry sources said Mr Mead was looking to sell the lease or bring in a partner to help him develop the venue. When contacted by WA Business News, Mr Mead was unable to discuss his plans for the site.
