Bevscape: The Latest Beverage Brand News

Anheuser-Busch, 1st Phorm to Partner for Energy Drink Line

Anheuser-Busch is still gunning for a share of the energy drink segment, announcing on January 15 a new partnership with sports nutrition business 1st Phorm to launch a RTD energy line.

According to a press release, Ultimate Fighting Championship (UFC) CEO Dana White will be included in the partnership. White and UFC previously entered a multi-year marketing partnership with AB which involves branded integration between the companies.

“1st Phorm brings over 20 years of category experience and deep relationships in the sports nutrition industry and fitness community,” said 1st Phorm CEO Sal Frisella in the release. “By combining our strengths with Anheuser-Busch’s experience in beverage innovation and scale, we look forward to creating a new wave of energy and other beverages.”

“Building on our commitment to consistently deliver quality and innovation, Anheuser-Busch is excited to partner with 1st Phorm, a company and brand that shares our vision and passion for creating products that meet the evolving needs of consumers,” said AB CEO Brendan Whitworth. “This brings together two American manufacturers with proud St. Louis roots and complementary expertise.”

Founded in 2009, 1st Phorm produces a variety of nutrition supplements and powder mixes, and currently makes a line of zero sugar, functional RTD energy drinks available in six flavors.

A representative for AB confirmed that the partnership will involve a new energy drink line, and is not related to 1st Phorm’s existing RTD portfolio. The forthcoming product is expected to launch by the summer.

The announcement is the first signal that AB is still interested in carving out a stake for itself in the non-alc energy drink sector, following the $990 million acquisition of Ghost Lifestyle – in which AB was a minority stakeholder and distributor – by Keurig Dr Pepper in October.

Finding a consistent foothold in energy has been a longtime goal for the business; in 2017 AB acquired Hiball Inc. for an undisclosed sum, but the brand struggled in the market post-acquisition and was officially discontinued in 2023. Energy drinks and other NA offerings have become increasingly important to AB-affiliated distributors in recent years, with brands ranging from giants Monster and Bang to newer entries like yerba mater brand CLEAN Cause spending time on distributors’ trucks.

1st Phorm was founded around 2009 in Missouri by entrepreneurs Sal and Andy Frisella. Andy Frisella is the founder of several brands and previously reported earning over $100 million in sales across his business ventures, but he also recently courted controversy.

Spindrift Agrees Sale to PE Firm Gryphon Investors; Dave Burwick Named CEO

Spindrift Beverage Company announced in January that it had reached an agreement for San Francisco-based private investment group Gryphon Investors to acquire a majority stake in the sparkling water brand, and is tapping experienced CPG executive Dave Burwick as its new CEO.

The deal, expected to be closed sometime in Q1 of this year, will see Spindrift founder and current CEO Bill Creelman retain a “significant equity stake” in the company while shifting into a new role as chairman of the board.

Creelman will be joined on the board by Ryan Fagan, managing director at Gryphon, as well as Gryphon partners Matt Farron and Mike Ferry.

Founded in 2010, Massachusetts-based Spindrift hit its stride after early experiments in craft soda evolved into its flagship product: sparkling water blended with fresh squeezed fruit juice, a concept that proved a hit with consumers and retailers seeking a differentiated product within the saturated category. Over the 52-week period ended December 28, 2024, Spindrift dollar sales totaled over $275 million while volume increased 22%, according to Goldman Sachs analysis of NielsenIQ data. The brand has also dabbled in innovation, including Spindrift Spiked hard seltzer.

A Wall Street Journal story in December indicated that a deal with Gryphon Investors could be valued above $650 million.

“I’m incredibly proud of what we’ve built at Spindrift over the past 15 years,” said Creelman in a press release. “For this next stage of growth, we looked for two things: a leader who could understand our business and the brand as natively as the people who work here today and an investment partner with the right financial and operational resources to galvanize our market leadership.

“I have known and respected Dave for nearly a decade, and with his experience and Gryphon Investors’ expertise, I’m confident that we will continue to have tremendous success in growing the brand and inspiring consumers to choose beverages that are based on the belief that the best tastes come directly from nature.”

In tapping Burwick, Spindrift is bringing in deep executive experience with large CPG brands. In addition to two decades at PepsiCo, Burwick has served as president and CEO of both The Boston Beer Company and Peet’s Coffee, as well as president, North America at Weight Watchers. During his tenure at Boston Beer, which concluded last February, he helped develop Truly Hard seltzer into a billion-dollar brand.

“I’m excited to join this dynamic team,” said Burwick. “Spindrift’s combination of talented professionals, superior products, and loyal customers has created a fantastic brand with a great future — one I can’t wait to be a part of.”

Gryphon Investors’ portfolio includes CPG brands like Dessert Holdings and Eight O’Clock Coffee, as well as investments in other industries.

“Spindrift has a strong, beloved brand and differentiated product portfolio because it’s made with exceptional thought and care,” said Fagan. “This attention to quality underlies the company’s outsized share of growth across beverage categories — nearly tripling in size since 2020 — and it’s what attracted us to invest in the business. We are thrilled to be partnering with both Bill and Dave, as well as the entire Spindrift team.”

Morgan Stanley & Co. LLC and Lazard acted as financial advisors to Gryphon. Simpson Thacher & Bartlett LLP and Morgan, Lewis & Bockius LLP acted as legal advisors to Spindrift. Piper Sandler and JP Morgan acted as financial advisors to Spindrift.