Regenerative agriculture and plant-based alternatives are two of CPG’s buzziest topics and now New Barn Organics has both. The egg and alt-milk brand is transitioning its full portfolio to secure a Regenerative Organic Certification (ROC) and in the process, has secured the cert for new-to-regen ingredients like vanilla. While the move definitely takes a bit of an initial investment – from farm audit fees and sourcing partner transitions to packaging refreshes – New Barn co-founder and CEO Ted Robb said the products’ prices will remain unchanged. 

Committing to that already premum price tag -- $9.80 per 32 oz. carton -- means balancing a long-term vision for gowing regenerative agricultural systems with immediate needs, a process that's as much about getting creative with sourcing partners like California-based Burrough Family Farms in finding ways to increase output and overall value. As co-founder and CEO Ted Robb told us: "It's not just the soil health, it's also the economics.”

It's a question more and more brands are asking themselves as the clouds of a potential recession continue to hover on the horizon. The imperative is particuarly high for New Barn and others who are embracing their role as early pioneers of regen-ag -- at a price. As Blake Alexandre, co-founder of ROC-certified dairy operation Alexandre Family Farm, told us in March: “We’ve got to get a premium established [for regenerative organic milk] because farmers are frankly tired and out of money,” said Blake Alexandre. 

Go deeper into New Barn's strategy for ROC growth on BevNET.  

A liquidating trustee for bankrupt beverage company NewAge Inc. has filed a 28-count adversary complaint in a bankruptcy court against 20 people and six companies alleged to have brought “substantial harm” and “financial devastation” onto the business. Among the claims in the 111-page document is an allegation that former CEO Brent Willis led a multi-year “campaign of false and misleading public statements” to manipulate the company’s share price, which other defendants were “complicit” in, including overstating the size and significance of distribution deals and promises about an upcoming line of CBD-infused products that in reality “were nowhere near being brought to market.”

The complaint also takes aim at NewAge’s 2020 merger with multi-level marketing business Ariix, alleging that “red flags” were waving prior to the deal’s closure and it was only discovered upon completion that Ariix was in financial distress with a capital shortfall over $18 million. Ariix principals Frederick Cooper and Mark Wilson, both listed as co-defendants, were alleged to have moved Ariix’s proprietary marketing software to another company they controlled, allowing them to take business away from NewAge.

More Context:

• In 2015, NewAge’s began building a beverage portfolio through acquisition and partnerships, bringing in brands like Bucha, Coco Libre, Aspen Pure, Xing Tea and Marley. The company went public on the Nasdaq market in 2017.
• In 2020, NewAge merged with MLM business Ariix in a $25 million deal.
• Brent Willis resigned from the company in January 2022. NewAge filed for bankruptcy in August 2022, citing nearly $150 million in debt.
• In October, the SEC charged Willis with fraud for “numerous false and misleading public statements” made between 2017 and 2019. 

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Pressed Juicery (now going by its maiden name again after a brief tenure as Pressed) has named former FAT Brands chief real estate officer Justin Nedelman as CEO. At FAT, Nedelman oversaw a portfolio of 17 restaurant brands with over 2,300 locations, at PJ he’ll be responsible for just 110 juice bars, but also a CPG retail footprint of more than 3,000 locations. Nedelman told BevNET he’s aiming to bring a hospitality industry ethos to all aspects of the business – dropping “consumer” and “customer” from the lingo and embracing “guests” for one example – while also looking to significantly increase manufacturing, build the portfolio through M&A, and explore functional innovations such as hydration and, perhaps, nootropics. Read the full story on BevNET. 

Austin Sherman, founder of Big Easy Bucha has announced a new venture: Southbound Tequila. True to the name, Sherman has looked south for business moves before. The New Orleans-based kombucha company founded in 2014 produces probiotic drinks including wellness focused juice shots and tepache, a traditional pineapple-based Mexican drink. Beliv, a Latin American bev-tech company with 40 brands in 35 countries, acquired Big Easy Bucha in 2021. Now, according to LinkedIn, Sherman is the CGO and founder of the premium tequila brand launching this summer. The entrepreneur isn’t the only beverage entrepreneur crossing over to rising agave spirits category, the beverage veterans behind Fuze, NOS, and BodyArmor have also recently launched tequila projects. 

Splash Beverage Group – a portfolio company whose brands include TapouT, Pulpoloco Sangria, Copa di Vina and SALT flavored tequilas – announced Q1 net revenue up 48% year-over-year to $5.8 million in an earnings report this week.

• Net revenue was driven by retail sales growth across its beverage portfolio (up 28.5%) and its ecommerce platform Qplash (up 60.3%). Gross profit was $1.8 million.
• Net losses declined to $3.73 million, versus $5.99 million in 2022. The company said the higher sales offset a lower gross margin and larger operating expenses.
• CEO Robert Nistico said Splash placed “one or more of [its] brands on 3,120 new shelves” in the first quarter.
• The rollout of TapouT’s energy drink line, originally set for May, was delayed due a can production issue. The products are expected to hit shelves later this month.

If you were patiently waiting for Coca-Cola to collaborate with a video game company on a limited edition flavor, relief is finally here. For the next release in its ongoing Creations series, Coke is teaming with “League of Legends” studio Riot Games to release Coca-Cola Ultimate, which boasts “the taste of +XP” (that’s experience points for you non-gamers out there). Few details on the product itself were made available today — a zero-sugar version should be available soon — but the launch will be accompanied by a slew of in-game bonuses and digital experiences via the Coca-Cola Creations platform. 

Farrah and Yassin Sibai, the co-founders of Mediterranean-inspired frozen food brand Afia, explained why they have long relied on self-manufacturing, the importance of emphasizing both brand and product awareness, the effectiveness of Instacart ads and instant redeemable coupons and how “the validity of the vision” propelled Afia’s Series A funding round. Read the story.

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