Sparkling water brand Aura Bora, known for its creative can designs and botanical infused flavors, has been acquired by New York-based investor and brand collective Next In Natural.
Under the terms of the deal announced this morning, Aura Bora co-founder and CEO Paul Voge is staying on board to focus on product innovation, while Next in Natural CEO Jeff Lichtenstein will serve as Chairman of the Board.
“Paul’s story is one of passion for doing the right thing by way of creating better-for-you products with marketing that really resonates with consumers seeking healthy and imaginative alternative products,” said Lichtenstein in a statement. “With Next in Natural’s shared services platform, Aura Bora is positioned to thrive with comprehensive support that will strengthen their supply chain and support future innovation.”
Launched in 2019, Aura Bora has established a foothold in the premium sparkling water space through its brilliantly animated cans and unique flavors that highlight herbal, botanical and fruit ingredients. Led by Voge and his wife Maddie, the company pitched successfully on “Shark Tank” in 2021 and picked up a Best of BevNET award in 2023 for Dry Guys Olive Oil Martini, its innovative mocktail collaboration with olive oil brand Graza. Its drinks are sold in more than 10,000 stores nationwide including Sprouts, Whole Foods, Albertsons, Publix, and Wegmans.
Voge chronicled his fundraising journey at BevNET’s summer conference last year, in which he noted that Aura Bora raised two small rounds before 2022, the year when interest rates were near 0%. The company had raised over $10 million in its lifetime, most of which arrived in an eight-figure round led by Siddhi Capital in September 2022. The company’s board of directors includes Siddhi Capital co-founder and general partner Melissa Facchina, Deep Eddy Vodka founder Clayton Christopher and industry veteran Brad Barnhorn.
Yet despite enjoying its best-ever year in 2024 with sales around $12 million, the company remained unprofitable after five rounds of financing. There wasn’t a specific pain point for Aura Bora, Voge said, but rather that expenses tied to high freight costs and marketing weighed down its momentum.
Though the company planned another raise, the investment landscape presented obstacles; according to FABID, new fund launches are at a 20-year low, with CPG investment plummeting by half since its peak in 2021. With less growth capital on the market flowing from fewer sources, Voge said he opted against another raise in the fall and decided to begin fielding interest from various potential suitors, including independent beverage brands, CPG holding companies and private equity firms with beverage portfolios.
Aligning with Next in Natural, Voge said, opens a path to achieve profitability through shared services and reduced expenses. Aura Bora expands Next In Natural’s portfolio of sparkling beverages, following its acquisition of Sound last May.
“The acquisition gives us continuity. We can continue to sell a product that consumers really love, continue to grow within the accounts that we sell, continue to release new products that consumers hopefully love in the future, but at the same time make a profit due to lowered costs from the acquirer’s improved unit economics,” said Voge. “This is the appeal of any acquisition, but in particular with Next in Natural, their shared services team gives our team and product an immediate boost.”
The deal marks the second announced transaction of the year in sparkling water, following the revelation of Spindrift Beverage Company’s sale to San Francisco-based private investment group Gryphon Investors last month.
“This is not what I predicted for Aura Bora a year ago, but that’s been the case consistently for the last six years of running this business,” said Voge. “I’ve been wrong far more times than I’ve been right. And I’m excited for Aura Bora continuing to grow within a larger CPG ecosystem.”