We successfully completed our Founders Round and used the funds to set up our corporate structure within China as a WFOE (Wholly Foreign Owned Enterprise), and also our Hong Kong entity to own the WFOE and to allow our shareholder structure. Additionally those funds were used to cover all other startup costs, including lawyers, securing our site and even to build this website.
Seed Round Investment
Our Seed Funding Round took place during May 2020 and was completed in June 2020. This was used to cover the costs incurred to find a location and to undertake all of the legal due diligence around buying land in China.
Convertible Note – Phase 1 and Phase 2
Using a commonly accepted funding mechanism, Convertible Notes, we raised two further interim funding rounds. This has provided the funds to buy our 17’238 square meter land parcel in Da Chi town, Longyan City, Fujian Province. It has also funded us for all our architecture, Environmental Impact Report and all of the other processes and procedures required to secure our building permits. Additionally, we have sufficient reserves to excavate the entire site, lay down almost 2000 cubic meters of water storage (primarily for fire safety requirements for a distillery) and to lay the foundations for our buildings.
Series A Funding
We will complete the last our our fundraising requirements with a Series A funding round that will commence during Q3 2021. Split in 4 phases, Series A will secure sufficient funding to complete our construction, fabricate and install enough hardware to give us 1.31 million LPA of starting capacity, fund the procurement of more than 6000 casks to fill in our first phase of growth and cover our running costs until we are cash flow positive in 2024.
There are some normal terms and conditions on those that wish to become a part of the Nine Rivers Distillery story. You must be over the age of 25 and abide by all relevant laws (that vary from country to country) about investing in projects such as ours. We would expect everyone to comply with the laws of their local country and concurrently with the laws of China and Hong Kong.
What We Expect
First and foremost you absolutely must have a love of whisky. We don’t expect everyone to be an expert about the subject and there isn’t an entrance exam. But if you’re not passionate about whisky then you’re not going to enjoy what we’re trying to do with Nine Rivers Distillery. Money alone will not make you part of our family or our story. Most of our investors also play an active part in shaping and defining our journey. Every day decisions such as the very content on this website has had input from our entire team. Decisions as simple as voting on a logo design right up to mash bills for first batches and casks to offer – they all have creative input from the whole team. Some businesses might see this level of involvement as chaos in the making. We see it as engaging with the very people who represent our future customers.
Our minimum investment on the Series A round would be RMB25’000. At current exchange rates that works out to about USD$3500, EUR€3250, or GBP£2900. Chinese RMB remains our currency of operation so you would need to check current exchange rates to determine that number in your own local currency. Our shareholder’s agreement is structured to encourage people who are looking to invest for a minimum term of 5 years. All profits will be reinvested for those 5 years to facilitate growth and expansion, adding value to the distillery and the brands that we craft.
As a project based in China, the vast majority of our communications go out on WeChat. If you’re not in China, then downloading this app will be your first starting point to engage with us and get involved. We do have a presence on other social media platforms but the daily interactions are all on WeChat. Get in touch with us using the form below to learn more.