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June 13, 2023
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📰 Today's Top Story

💰 Uncle Arnie's Coming to Town

💰 Uncle Arnie's Coming to Town

While low-dose, beginner-friendly cannabis drinks like Cann and Levia may be buzzy in other emerging markets, things are different in California. Stocked with experienced users, the country's biggest weed market has taken to small-format, high-dosage drinks that offer big taste and a powerful high, none more so than Uncle Arnie's. The state's top-selling THC beverage brand offers eight SKUs all in at 100mg THC (either 8 oz drinks or 2 oz shots), presenting serious value for frequent users on top of being discreet, versatile and big on flavor with varieties like Sweet Peach Iced Tea and Pineapple Punch. According to data provider Headset, Uncle Arrnie's claims three of the top 5 best-selling cannabis beverage SKUs in the state through the end of May.

The brand is also available in Oregon and Nevada, but can that specific proposition and approach -- as embodied by the brand's eponymous aging hippie mascot -- find success in, say, Michigan? We'll soon find out, as the company has secured growth capital from two of the original co-founders of The Boston Beer Company -- Harry Rubin and Lorenzo Lamadrid -- along with Michael Carpenter, former CEO of Ally Financial and ex-chief of Global Corporate and Investment Banking at Citigroup, and his son Nick Carpenter, also a financial executive. The investors shared a statement noting that they "look forward to helping [Uncle Arnie's] seize their significant expansion opportunities," starting with a move to Michigan this summer. With the goal set to reach profitability by the end of this year, the next six months presents a critical test of how far (or high, if you prefer) Uncle Arnie's can go.

Check back on BevNET later today for more details on Uncle Arnie's new partners and future strategic plans.

 

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👼🏼 How Did Gorgie Raise $6.5M Round Without VC Cash?

With only six months of sales under its (likely very fashionable) belt, today Gorgie announced the close of a $6.5 million pre-seed round. Founded by Michelle Cordiero Grant in January – who founded and sold lingerie brand LIVELY in 2016 – the new funds will be used to support the emerging brand’s marketing, retail and innovation efforts. While Gorgie’s investor list features a few familiar names as Grant’s first venture, this time no VC partners or formal investment vehicles made the cut.

“I just wanted things to be super simple [this time], so they came in.. as humans, not as VCs.”

Read the full story later today on BevNET.

Go Deeper: With Its TikTok-Tested Thesis, Gorgie Launches Into New NYC Whole Foods

 

What You Need to Know

BevNET Live Begins Tomorrow! There’s Still Time to Register

Join us tomorrow in NYC for sampling, networking, 1:1 retailer meetings, the New Beverage Showdown, and presentations from Vita Coco, Sprouts, Lunr, Milo’s, Super Coffee, Sharma Brands, TIG Brands, Whipstitch Capital, and Nutrabolt. Register.

 

🫴 Neat Strategy: Bacardi Doubles Down On On-Premise

With bar and restaurant sales normalizing post-pandemic lockdowns, Bacardi’s VP of on-premise is confident that the channel is still where brands are built. During the NIQ C360 conference last week, Rohith Reddy cautioned brands to not look at on-premise in aggregate, and to build long-term commitments in order to create meaningful on-premise experiences. “It's about trial, but it's about experience,” he said. “And that will always be the hallmark of the on-trade, and I would maintain the hallmark of spirits brands and beverage alcohol. It's not a transaction–, it has to be an experience.”

Read the full story on BevNET

 

🤝🏼 Co-Packer Connector Platform Raises $4M

PartnerSlate, an B2B online marketplace connecting food and beverage brands with co-manufacturers, raised $4 million in a Seed Round led by Supply Change Capital last week. The new investment will go towards expanding PartnerSlate’s matching platform, PartnerMatch, using generative AI to connect brands and producers quicker as well as build out the platform’s task management tools to provide more efficient communication between parties. Co-founder and CEO Vince Tseng said the platform will remedy the frustrating process of internet searching and cold-calling co-mans in hopes of finding a suitable producer for a new product.

Read the full story on BevNET

 

🚚 Culture Pop Powers Up

The gut-health soda set may be growing increasingly crowded, but Massachusetts-based Culture Pop is finding space to stretch out. As we reported late last year, the company is targeting national growth this year, and so far, so good: the brand has tripled its retail presence over the past six months, now standing at 7,000 stores nationwide, according to a press release. Big wins include entering all Whole Foods locations in February, but the full complement of partners is balanced across conventional giants (Albertsons/Safeway, Kroger, Walmart, Target), regional chains (Stop & Shop, Wegmans) and natural (Sprouts). Those stores have also welcomed competitors like Poppi and OLIPOP on shelves, an encouraging sign that there's still more room for a range of takes on this particularly functional beverage type.

 

🍫 Huel Goes Humane With Tony's Chocolonely

Protein and meal replacement drink maker Huel took its name by combining “Human” with “Fuel.” Now the U.K.-based brand looking to ensure its products are as humane as possible by partnering with Tony’s Chocoloney’s Open Chain, a sustainable chocolate sourcing network that ensures all its cocoa is 100% free of slave harvesting and abuse, while also helping to prevent deforestation and help farmers earn a living income. The supply chain works directly with farmers in Cote D’Ivoire and Ghana, which also helps to stamp down on child labor, and it has previously partnered with U.K.-based from cheesecake brand Pleese.

 

🤯 Bang Saga Refuses to End

Like a troubled Hollywood blockbuster that keeps getting pushed back, the much-awaited conclusion to Bang Energy's bankruptcy proceedings -- originally slated for this Thursday -- has once again been delayed. Per court filing on Monday, the final sale hearing is set for June 30 at 10am.

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