CapX Partners, a leading equipment finance specialist, provided a true lease structure of $15 million to Califia Farms to facilitate the procurement of new bottling and pasteurization lines, further expanding capacity.
Los Angeles-based Califia Farms was founded in 2010 by beverage visionary Greg Steltenpohl. It is now one of the fastest-growing beverage companies in the U.S. and named one of the most innovative consumer brands of 2016 by Forbes magazine. Renowned for having the best-tasting, plant-based beverages on the market, Califia has become the number one nutmilk and refrigerated RTD coffee brand in the natural channel by creating innovative, healthy and great-tasting premium beverages that make it easy for consumers to go ‘plant-powered,” without compromise.
Califia Farms contacted CapX as the company looked to expand its state-of-the-art, intelligently designed distribution and bottling plant located in Bakersfield; known as the heart of California’s agricultural center. The facility is designed to maximize resource use and efficiencies while operating 24/7.
“CapX enjoys working with strong leaders and growing companies. Califia Farms is a familiar household brand, recognized as a market leader across multiple categories,” stated Richard Bollinger, Managing Director at CapX Partners. “The addition of these capital assets will help the company keep up with demand and continue their global expansion.”
Rapid growth across product lines and global expansion into Canada, the UK and Australia pushed the company to diversify their capital sources.
“The demand for Califia Farms’ great-tasting, premium plant-based beverages has grown significantly year-over-year, added Demir Vangelov, Chief Financial Officer at Califia Farms. “In order to meet the growing demand, we needed to build two new production lines, which required a significant investment and has resulted in tripling our output capacity at our Bakersfield plant. We appreciate CapX Partners’ willingness to work with growing companies like ours and their flexible financing options.”
About CapX Partners
Founded in 1999, CapX Partners (CapX) is a specialty finance company that focuses on private equity-backed portfolio companies looking for debt financing in the $2-$20 million range. CapX provides senior and mezzanine debt including lease lines and favors manufacturing, distribution, technology, energy and healthcare industries with an emphasis on revenue-producing fixed assets. For more information on CapX, visit www.capxpartners.com.
About Califia Farms
Los Angeles-based Califia Farms creates delicious plant-powered foods to provide mindful nourishment. The company is leading the way in the plant-based food and beverage revolution, creating innovative, healthy and great-tasting premium beverages that make it easy for consumers to go ‘plant-powered’ and live dairy-free, without compromise. The company is also leading the way in democratizing America’s coffee cups by delivering the next wave of delicious coffee innovation to every consumer – Califia Cold Brew Coffee with Almondmilk already outsells Starbucks in the specialty channel and is the best-selling natural cold brew coffees in the natural channel.
Founded in 2010 by a farmer’s co-operative based in the San Joaquin Valley and headed by beverage visionary Greg Steltenpohl, Califia Farms is one of the fastest-growing natural beverage companies in the U.S. In 2015, Califia Farms was named “Brand of the Year” by BevNet, and a “Breakout Brand” by Beverage World.