Marking its third acquisition since 2021, Wisconsin-based beer and craft soda producer Sprecher Brewing Company announced today it has acquired functional energy drink brand Juvee for an undisclosed sum.
Founded in 2022 by e-sports org and lifestyle brand 100 Thieves, Juvee makes a line of zero sugar energy drinks made with 128 mg of caffeine, Vitamin C, L-Theanine and 5 calories per 12 oz. can. The brand has also introduced a line of hydration powder sticks. Having initially debuted for sale direct-to-consumer and on GoPuff and, Juvee has seen revenues grow 400% since its launch, according to the company.
As part of the transaction, Juvee co-founder Sam Keene will join Sprecher as CMO. In an email to BevNET, Keene said Sprecher will scale Juvee and help the young brand reach new consumers.
“Together, Juvee and Sprecher are truly positioned to be a major player in the energy category,” Keene wrote. “From production, to warehousing, distribution and sales support, and Sprecher’s rapid growth over the last three years under [CEO] Sharad Chadha’s leadership, this acquisition will ultimately skyrocket Juvee’s reach and awareness.”
At a glance, digital-first Juvee might be an unexpected fit for Sprecher, which holds the title of the oldest craft brewery in Milwaukee and has been largely focused on traditional brick-and-mortar distribution. The brand’s craft soda line is currently available in around 25,000 stores across 49 states, the company said in a release.
Much of that national distribution has come in the past four years. In 2020, Sprecher was acquired by an investor group including Chadha and former MillerCoors exec Jim Kanter. Since then, the business has grown craft soda sales around 300%, per the release.
According to Keene, Sprecher’s traditional distribution capabilities and large full-time team will help drive Juvee’s future growth.
“What excites me most is getting more cans into consumers hands,” he wrote. “By leveraging Sprecher’s incredible team, we now have 150 people focused on getting Juvee into more stores nationwide.”
Juvee is the latest acquisition in a recent run of M&A activity from Sprecher. In 2021, the brewery purchased another legacy Midwest soda maker, Wit Beverage Company (WBC), which served to further establish Sprecher in the Chicagoland market. At the time, Sprecher had been shifting the bulk of its attention away from beer and towards building out its non-alcoholic beverage portfolio, which represented 90% of the company’s revenue as of 2021.
Last year, Sprecher added to the portfolio by acquiring sparkling lemonade brand Ooh La Lemin from public holding company Kona Gold.
The energy drink category has continued to stand as one of the fastest growing RTD beverage categories over the past several years. According to NielsenIQ, the category was up 11.3% to over $20.7 billion in U.S. retail in the 52-week period ending December 30, 2023.
Although Juvee is still a relatively new entrant to the space, the brand’s focus on Gen Z consumers and its connection to the gaming community – areas which fast-rising competitors like PRIME, G-Fuel and GHOST have also targeted – opens Sprecher’s business up to a younger audience.
“[The Juvee acquisition] continues our company’s aggressive growth strategy,” Chadha stated in the press release. “The energy drink category is hugely popular, and when we connected with Juvee’s co-founders, it quickly became apparent that this was the perfect brand for us to enter into this competitive space.”