The hospitality and brewing company Moa Group has sold the business that started the company.
The group had sold the craft beer brewery Moa Brewing to a firm associated with the current chief executive, Stephen Smith, for $1.9 million.
The company said the future of its brewing business, which was founded in 2004, had been in question over the past six months.
“The board recognises the value that the brewing business has brought to the group, which formed the foundations of where the group stands today.”
“However, the board, with the support of management, has concluded that the best outcome for shareholders is to allocate capital and management attention to the areas of the business with the greatest growth and earnings potential,” a statement to the stock exchange said.
Moa Group had recorded back to back full year losses in recent years and had posted a loss of about $400,000 for the six months to September.
Group chair Geoff Ross said he decision to divest the craft-beer business had been difficult, but was the best outcome for shareholders.
“The commitment of our shareholders to Moa Brewing since listing in 2012 has been unwavering. We were able to be a true disrupter in the market, and the board continue to be proud of the position that Moa holds in the craft beer sector.”
Following the sale, Moa Group will change its name to Savour and focus wholly on hospitality, which accounted for two thirds of its revenue and all of its profitability last year.
Moa acquired several restaurant-bars in 2019 with the aim of expanding its business and increasing sales of the beer.
Savour, which will be run by Lucien Law, owns the Auckland-based Non Solo Pizza and Azabu brands.