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“Ethical Spirits” raises funds to further value unused materials

“Ethical Spirits” raises funds to further value unused materials *Ethical Spirits Co., Ltd.*
Press release: September 17, 2024
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“Ethical Spirits” raises funds to further value unused materials *Aiming to increase the annual amount of sake lees used for gin by approximately 60 times the current amount by 2030*
“LAST” is a signature gin that distills the rich aroma of sake lees. * Ethical Spirits Co., Ltd. (Headquarters: Taito-ku, Tokyo / Representative Director and CEO: Chikara Ono), which distills and sells ethical gin*1 by converting unused materials such as sake lees into value
/ Ethical Spirits) is Suntory Holdings Limited (Head Office: Osaka City, Osaka Prefecture /
Third party allotment capital increase from Siiibo Securities Co., Ltd. (Head office: Chuo-ku, Tokyo /
We raised a total of 380 million yen in funds through the issuance of small private placement bonds by Representative Director: Kazuteru Komura) and loans from Sumitomo Mitsui Banking Corporation and Japan Finance Corporation. *

*
With this procurement, Tsukubane Green Hill Distillery (Tsukuba City, Ibaraki Prefecture), which will start full-scale operations in the spring of 2025, will expand production of ethical gin and create the world’s first*2 “wooden sake.”
As a private business, we will develop and produce WoodSpirits, a project to commercialize and sell unused materials, and accelerate the domestic and international expansion of spirits that turn unused materials into valuable products. *
* As one of the indicators, we aim to distill 314 tons of sake lees into gin in fiscal 2030, which is 60 times more than last year. *

* Increase production of ethical gin and expand usage of unused material “sake lees” left in sake breweries*
The origin of Ethical Spirits is the large amount of “sake lees” that the current chairman, Yuya Yamamoto, encountered while working in the sake industry.
Sake lees*3, of which the equivalent of 3,200 tons is said to be unused every year, contains about 8% alcohol and the rich aromatic components found in sake*4. It is one of the most attractive materials. Ethical Spirits’ signature gin “LAST” was born from distilled sake lees shochu.
Sake lees used as the base spirit for ethical gin “LAST”
As of December 2023, the total amount of “sake lees” used in the distillation of ethical gin “LAST” has exceeded 21 tons since its founding, and has been distributed not only to bars and restaurants but also to 1,000 stores nationwide, including famous department stores, hotels, and supermarket chains. The above is available. Image perspective of the new distillery “Tsukubane Green Hill Distillery” scheduled to be built in Tsukuba City, Ibaraki Prefecture With this funding, the new distillery “Tsukubane Green Hill
Distillery”, which will start operations in the spring of 2025, will be able to handle sake lees from more sake breweries across the country with equipment that can distill the sake lees itself. In addition, by increasing production capacity by seven times, we aim to distill 314 tons of sake lees into gin in fiscal 2030, 60 times as much as last year, and expand the ethical gin market.
Furthermore, the new distillery “Tsukubane Green Hill Distillery” is also aiming to obtain hygiene standards, following in the footsteps of “Tokyo Riverside Distillery” which has already obtained the
international hygiene standard “ISO 22000″. In addition, we will continue to expand into overseas markets.
Comment from a sake brewery that trades sake lees
At Ethical Spirits, we are working with sake brewery partners across the country to expand our efforts to increase the economic value of sake lees. This time, we will be featuring the signature gin “LAST”. We received a comment from Chiyomusubi Sake Brewery, which sells sake lees shochu as the base for “ELEGANT”.
* Chiyomusubi Sake Brewery Chief Brewer and Managing Director Satoshi Okazora * Chiyomusubi Sake Brewery Mr. Satoshi Okazora
Chiyomusubi Sake Brewery has been producing “sake lees shochu”, a re-fermented distillate, as a way to reuse sake lees, a byproduct of Japanese sake.
Although we had a desire to develop sake lees, which is rich in nutrients, as a skin care product, we gave up on development due to stability tests and other factors.
Under such circumstances, we are very happy to be able to revive and deliver to everyone as a new value-added gin based on “sake lees shochu” and using botanicals.
In the future, we would like to continue to collaborate using sake lees, with a focus on gin.
Comment from Ethical Spirits
*Ethical Spirits CEO Tsutomu Ono*
Ethical Spirits Chikara Ono
With this funding, we will accelerate our efforts to make the unused materials of ethical spirits a commonplace around the world. By increasing the production of ethical gin and producing
“WoodSpirits” at the new distillery, more people will be able to create sake that exceeds the “tastiness” of the past from unused materials such as sake lees and unused forest wood. I’ll tell you. Discoveries and realizations such as “Is there a scent or taste like this from something like that?” will lead to an exploration of the value of unused materials, and will eventually lead to a consumer society with less waste.
In November, we will be taking on a new challenge with ethical gin “LAST”. We have worked together with our sake brewery partners and everyone who supports Ethical Spirits to realize our goal of “Starring the hidden”, which has been our goal since our founding.
I would like to make a bigger impact and embody “gem.” (bringing hidden talents to the stage).
* The world’s first wooden sake “WoodSpirits” scheduled to start production in the summer of 2025 *
Wood sake and “WoodSpirits” project leader Kazuya Tatsumi, at the mountain of cedar trees in Tokigawa Town, Saitama Prefecture, where the distillation is planned.
“WoodSpirits” is an ethical spirits distilling venture in Japan, and the owner of Bar BenFiddich.
It was jointly launched by Hiroyasu Kayama, and has concluded a joint research agreement and patent licensing agreement with the Forestry and Forest Products Research Institute, the National Research and Development Agency Forest Research and Management Organization, and the Forestry and Forestry Management Organization.
“wood sake”
This is a project to commercialize and sell the product as a private business. The project was launched in June 2021, and the first public tasting event was held in October last year.
Through “WoodSpirits,” Ethical Spirits aims to revitalize the domestic forestry industry by promoting the use of unused forest wood, which is said to be produced annually at 9.7 million tons, as raw materials for alcoholic beverages and by realizing transactions at high unit prices. I think I can contribute.
We are currently making some updates to our roadmap, ordering equipment to be introduced in preparation for the start of sales in the summer of 2025, and making preparations for the Osaka/Kansai Expo, where we have decided to exhibit in September 2025.

-Future schedule-
September 2024 to Spring 2025: New distillery development (construction) period Spring 2025: New distillery completed
Summer 2025: Start of manufacturing for commercialization
September 2025: Product introduction at the 2025 Japan International Expo (abbreviated as “Osaka-Kansai Expo”)

WoodSpirits brand site: https://woodspirits.ethicalspirits.jp/

Ethical Spirits Co., Ltd.
Gin distilled at the Tokyo Riverside Distillery from various unused materials such as sake lees, cacao peel, and beer that is past its drinking age.
Founded in February 2020.
In March 2020, we distilled the “sake lees” left at the end of the sake production process, and it is said that 3,200 tons per year are unused, and began manufacturing and selling ethical gin “LAST.” The company is attracting attention not only for its ethical production methods, but also for its high quality in terms of fragrance and taste, winning the highest gold award at the world’s top competition “IWSC 2021” and being the only Japanese product to be selected as one of the top 9 products in the world. We have received evaluations.

In May 2021, we opened Tokyo Riverside Distillery, the world’s first*5 regenerative distillery specializing in ethical production and consumption, in Kuramae, Tokyo.
Currently, we handle over 50 types of unused materials, including not only sake lees, but imported beers such as “Budweiser” and
“Hoegaarden” that became surplus due to the coronavirus pandemic, cacao peels and coffee grounds.
We are expanding production of ethical gin that embodies the idea of ​​”the hidden gem” (bringing hidden talents to the stage).

Furthermore, in June 2021, we will become the world’s first*2 private business to commercialize and sell “WoodSpirits”, a “wooden sake” based on the research results pioneered by the National Forestry and Forestry Research Institute. Announcing the challenge. We have begun the challenge of creating alcoholic beverages from wood itself.

In August 2022, the company announced funding of approximately 200 million yen from Suntory Holdings and others.
In 2023, we will work with Tokyu Corporation to develop gin using unused materials from companies and local governments such as Kabukicho, Narita Airport, and Japan Airlines Co., Ltd., and expand the possibilities of ethical gin through collaboration.

Then, in May 2024, we carried out a brand renewal. Believing in the “hidden talents” of unused materials, and wanting to be a vessel that brings out those talents even more, we redesigned our logo design to be based on gray.

We at Ethical Spirits are committed to “Starring the hidden” Based on the philosophy of “Gem (Bringing Hidden Talents to the Stage),” we believe in the possibilities of not only botanicals and base spirits, but also people, places, and everything.

Ethical Spirits Corporate Site: https://ethicalspirits.jp/

We are looking for new colleagues who can demonstrate their “hidden talents”. With the opening of a new distillery and business expansion, we are looking for new colleagues who can demonstrate their “hidden talents”. * ー * * Starring the hidden gem. Bringing the hidden talent to the stage *

Ethical Spirits recruitment site: https://recruit.ethicalspirits.jp/

The world’s first regenerative distillery “Tokyo Riverside Distillery” Awarded the first “Best Japanese Craft Gin Distillery” at the “Tokyo Whiskey & Spirits Competition 2024”.
“Tokyo Riverside Distillery” was established in 2021 as Tokyo’s third urban distillery.
The building, which is filled with the scent of juniper berries, has an official store on the 1st floor and a bar & dining area on the 2nd floor where you can enjoy gin with your food.It is a base for circulation where we, the makers, deliver directly to you. Masu. Awarded the first “Best Japanese Craft Gin Distillery” at the “Tokyo Whiskey & Spirits Competition 2024”.

* -1F Official Store -*
A roadside store where you can see the distillery behind the glass. You can also try the scent in a perfume bottle.
Ethical spirits gin can be purchased by the bottle or as a takeaway drink on the street side of the distillery. While peering into the distillery behind the glass, you can find your favorite drink while listening to the stories of the gin and botanicals told by the staff, and the scent of the gin that you can try in a perfume bottle. Business hours: 13:00-19:00
* – 2F Bar&Dining Stage by Ethical Spirits -*
Enjoy cocktails made with ethical gin
Meals developed by the chef to match the gin
Climb the stairs next to the distillery and you’ll find a bar and dining room that feels like a hideaway. We offer original cocktails to accompany our meals, allowing you to fully enjoy our ethical spirits gin.
Business hours: 18:00-23:00 (LO: food 22:00 drink 22:30) *Closed on Sundays and Mondays
Instagram: https://www.instagram.com/stage_ethicalspirits/
Ethical Spirits Co., Ltd.
Representative Director and CEO: Tsutomu Ono
Co-founders: Yuya Yamamoto, Rie Uozumi, Saki Kato, Ayumu Yamaguchi Address: 3-9-3-4F Kuramae, Taito-ku, Tokyo 111-0051
Founded: 2020
Business: Planning, manufacturing and sales of alcoholic beverages (spirits) Obtained license: Spirits manufacturing
Corporate site: https://ethicalspirits.jp/
Official online shop: https://shop.ethicalspirits.jp/
Instagram: https://instagram.com/ethicalspirits_jp
X (Twitter): https://twitter.com/ethical_spirits
Facebook: https://www.facebook.com/ethicalspirits

*1 At Ethical Spirits, we define “ethical gin” as gin that has been distilled from unused materials such as sake lees and cacao peel to bring out their value.
*2 The world’s first “wood liquor” to be commercialized by a private company using technology developed by the Forestry and Forest Products Research Institute to saccharify and ferment the fibers in wood. *3
According to the National Tax Agency’s “Regarding Sake Production, etc.” Reference 1 “List of Sake Production Status for 2021 Sake Brewing”, approximately 32,000 tons of sake lees are generated annually. Central Liquor Industry Association Liaison Council “Target values ​​for reducing food waste, etc.”
The recycling rate is 90% or more based on the opinion of the alcoholic beverage manufacturing industry regarding the formulation. Calculated based on 10% of the approximately 32,000 tons of unused sake lees.
*4 Gekkeikan “Learn about sake lees: expiry date, storage method, and types of sake lees”
*5 In-house research






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