Gin Bond 2 Holders: Why you should REJECT the CVA proposal

towny53

Hi everyone,

I’m writing this because, like many of you, I invested in Gin Bond 2 and I am deeply concerned about the proposed CVA (Company Voluntary Arrangement) from Glug-Glug Ltd.

I’ve spent some time looking into the details and the news coverage, and I’ve decided to formally reject the "debt-for-equity" swap. To me, this proposal feels like a way to wipe out retail debt while the brand continues to trade, effectively forcing us to take a 95% "haircut" on our cash.

I have just sent my formal rejection to the administrators (Leonard Curtis). Here are the key points I’m raising—please feel free to use these if you are planning to lodge your own objection before the May 7th deadline:

• Imminent Maturity: My Bond reaches legal maturity on 5 August 2026. I’m not willing to accept a total loss on a £500 principal that is due in cash in less than four months.
• The Parent Company Guarantee: I am explicitly refusing to release the parent company (Craft Clubs Ltd) from its obligations. Since the parent company intends to keep trading, they remain liable for the debt.
• Default on Interest: I’m already owed £20 in accrued interest. I’m demanding this be paid in cash, not converted into shares in a distressed company.
• The "Dragon's Den" Factor: Many of us invested because of the public backing of the board, including Sarah Willingham. I’ve copied her office into my objection because I believe wiping out retail investors while the brand "pivots" is a massive breach of that trust.

The creditors' meeting is tomorrow (30 April) and the final decision is 7 May. If we don't speak up now, we’re essentially handing over our investment for "illiquid" shares that might never have value.

Is anyone else planning to reject this? I’d love to hear how others are handling their Proof of Debt forms.

towny53

Hi everyone,
I’m writing this because, like many of you, I invested in Gin Bond 2 and I am deeply concerned about the proposed CVA (Company Voluntary Arrangement) from Glug-Glug Ltd.

I’ve spent some time looking into the details and the news coverage, and I’ve decided to formally reject the "debt-for-equity" swap. To me, this proposal feels like a way to wipe out retail debt while the brand continues to trade, effectively forcing us to take a 95% "haircut" on our cash.

I have just sent my formal rejection to the administrators (Leonard Curtis). Here are the key points I’m raising—please feel free to use these if you are planning to lodge your own objection before the May 7th deadline:

Imminent Maturity: My Bond reaches legal maturity on 5 August 2026. I’m not willing to accept a total loss on a £500 principal that is due in cash in less than four months.

The Parent Company Guarantee: I am explicitly refusing to release the parent company (Craft Clubs Ltd) from its obligations. Since the parent company intends to keep trading, they remain liable for the debt.

Default on Interest: I’m already owed £20 in accrued interest. I’m demanding this be paid in cash, not converted into shares in a distressed company.

The "Dragon's Den" Factor: Many of us invested because of the public backing of the board, including Sarah Willingham. I’ve copied her office into my objection because I believe wiping out retail investors while the brand "pivots" is a massive breach of that trust.

If you’re still on the fence,Business Matters reports the board is trying to swap £4.2m of our debt for just 18% equity.

The Express notes they are already planning a pivot into "rum" while asking us to take the hit:

The creditors' meeting is tomorrow (30 April) and the final decision is 7 May. If we don't speak up now, we’re essentially handing over our investment for "illiquid" shares that might never have value.
Is anyone else planning to reject this? I’d love to hear how others are handling their Proof of Debt forms.

dunstonh

I’m writing this because, like many of you, I invested in Gin Bond 2 and I am deeply concerned about the proposed CVA (Company Voluntary Arrangement) from Glug-Glug Ltd.

Sorry, I had to chuckle a tthe "like many of you" comment. I doubt there are many here.

This was a very high-risk, illiquid, unregulated, and unsecured mini-bond. Only someone crazy would have invested in it.

Thankfully, public information indicates just hundreds to low thousands of people are likely to be affected. Probably did so after sampling a bit too much of the merchandise.;)

The creditors' meeting is tomorrow (30 April) and the final decision is 7 May. If we don't speak up now, we’re essentially handing over our investment for "illiquid" shares that might never have value.

The investment is already illiquid and might never have a value.

Albermarle

As mentioned in your other thread, it is unlikely you will find anyone in this forum who has invested in this.

Maybe if it comes up in a Google search, someone might respond.

masonic

Being illiquid is the worst attribute for such an investment to have.

flaneurs_lobster

 Only someone crazy would have invested in it.

….or drunk.

Mrs_Trellis_of_North_Wales

It didn't get the best of receptions when it was discussed on this forum four years ago:

https://forums.moneysavingexpert.com/discussion/6364800/craft-gin-club-bond-2

QrizB

It didn't get the best of receptions when it was discussed on this forum four years ago:

Four years on from the bond offer, they're still not making a profit and their latest accounts shows their defecit position has only become worse.

https://find-and-update.company-information.service.gov.uk/company/09405978

OP should be grateful that he's only going to be £500 down, there must be others holding much larger notes.

Edit to add: I know practically nothing about bonds but enjoy a good (metaphorical) car crash when I see one!

HedgehogRulez

Imagine investing in gin :D

Glug Glug Ltd 😆

QQQQQQQQ_Y

https://forums.moneysavingexpert.com/discussion/comment/81982662#Comment_81982662

£500 would've bought you a very nice case of gin, and change to take down the local dog track, all of which seems a better bet to me than "investing" in a venture like this.