Private Equity

First Beverage Ventures is the private equity arm of First Beverage Group, focused on investing in emerging beverage companies.

We specialize in providing growth equity to emerging beverage companies. Our clients benefit from value-added services including support with distribution, supply chain, strategic planning, marketing strategy, operations, board development and human resources. We are much more than just a capital source.

What We Look For

People, Product and Brand:

  • Quality team with the highest level of integrity, desire and commitment
  • Founders who embrace active strategic and financial guidance
  • Brand that is positioned for rapid growth in its category

Operating Profile:

  • Revenues of $1 million to $10 million
  • Strong and sustainable gross margins
  • All categories related to beverages: brands, retailers, suppliers, technology
  • Clear and reasonable capex to achieve cash flow positive

Geography:

  • Based in the United States and/or majority of sales in U.S.

Transaction:

  • Investment sizes between $1 million and $10 million
  • Growth equity investments: > 20%+ of company

Private Equity Case Studies

Purity-Organic

Purity Organic

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Purity-Organic

Purity Organic

Case Study

Investment Thesis: First Beverage believes the strategy we have implemented will drive Purity Organic to become a nationally recognized brand.

First Beverage’s Involvement: Since completing the investment, First Beverage has optimized flavor offerings and packaging, successfully redesigned the logo and label, signed new key distributors,  improved year-over-year sales by 48%, hired experienced personnel and developed a detailed financial and operating plan to achieve future targets.

 

Activate

Activate

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Activate

Activate

Case Study

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Investment Thesis: India’s Tata Group (former shareholders of Glaceau) made a significant investment in Activate and bought out the majority of First Beverage’s equity, which resulted in an IRR of 41% for First Beverage.

First Beverage’s Involvement: Following our investment, First Beverage placed a new CEO and full management team inside Activate and lead an expansion in distribution from one to 16 markets that took sales from $400,000 to over $4 million in 16 months.  First Beverage crafted the operations model and financial plan that led to several successful capital raises for the brand, totaling $27 million.

 

Health-Ade

Health-Ade

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Health-Ade

Health-Ade

Case Study

Investment Thesis:  First Beverage believes the Kombucha segment is on the cusp of explosive growth and Health-Ade is positioned to gain significant market share through its unique and approachable branding and through its superior tasting liquid.

First Beverage’s Involvement:  Since completing the investment, First Beverage has developed a detailed strategic plan and financial model, advised the company on the development of a new production facility, successfully redesigned the logo and label, opened key accounts,  developed distribution relationships, and increased profitability by reducing cost of goods sold.