The P.E.I. Brewing Company received a term loan of over $2.1 million from Island Investment Development Inc. (IIDI), a provincial Crown corporation.
The provincial government has granted almost $3 million in loans to two P.E.I. companies for development and expansion.
The P.E.I. Brewing Company is receiving the lion’s share, with a term loan of over $2.1 million from Island Investment Development Inc. (IIDI), a provincial Crown corporation.
No one from the department of Innovation and Advanced Learning was made available for an interview, but an email response from a department spokesperson says the loan is for the brewing company’s to move and expand the business.
“The Prince Edward Island Brewing Company is expanding their brewery operations by relocating to and renovating the former Cabinetmaster building on Kensington Road in Charlottetown into a full scale micro brewery (bottles and cans), a product research and development kitchen, and a retail beer store,” the department email said.
The company will also be offering brewery tours and entertainment by local musicians to customers once the move to the new location is complete.
“With this expansion, the P.E.I. Brewing Company is ready for opportunities in export markets through increasing production capacity, growing the number of accounts for sales and accelerating the channels of distribution of their award winning ales.”
A request to the company for comment on this story received no response.
The directors of this company, as listed on the federal corporate registry, are well-known Charlottetown businessman Kevin Murphy and Jeffrey Squires.
The terms of this loan were requested from the department, but were not provided.
Executive council also approved the advance of an $800,000 operating line of credit from IIDI to the Cornwall Business Park Inc.
This corporation manages the business park, which houses manufacturing and transportation companies.
In an email response to The Guardian, Rebecca Bruce, a communications officer with Innovation P.E.I., said the business park’s focus on growing the manufacturing sector made it eligible for the five-year term operating line of credit, with a four per cent rate of interest.
Charlottetown developer Tim Banks owns the business park.
“The Cornwall Business Park is driven by growth in the manufacturing sector, a priority sector in accelerating the economy of P.E.I.,” Bruce said in her email.
“Finance P.E.I. assists new and expanding businesses that exhibit strong growth and export potential while contributing to job and wealth creation.”