Monster Beverage Corporation made an official announcement stating that its subsidiary, Blast Asset Acquisition LLC, has successfully finalized the acquisition of Vital Pharmaceuticals, the owner of Bang Energy.
As part of the acquisition, Monster Beverage Corporation has obtained the assets of Bang Energy beverages and a beverage production facility located in Phoenix, Arizona. The purchase price for this acquisition was approximately $362 million, with potential adjustments taken into account.
In July, Monster Beverage Corporation and Vital Pharmaceuticals (VPX Sports) came to an agreement for an asset purchase. As part of this deal, a Monster subsidiary was set to acquire all the assets of Bang Energy. Subsequently, Monster successfully obtained approval from the US bankruptcy court to proceed with the acquisition of VPX Sports under Chapter 11, as previously reported.
Rodney C Sacks, chairman and co-chief executive officer of Monster Beverage Corporation, said, “We are enthusiastic about the opportunities this acquisition presents to us and believe that the Bang brand will fit well within our broader portfolio of energy drink brands”.
Hilton H Scholsberg, vice chairman and co-chief executive officer, added that Bang Energy has a “distinct marketing position and loyal consumer base”, and that production will be increasing at the Phoenix facility to accommodate certain of the company’s other brands.
“We are excited for the opportunities for all of our brands,” Schlosberg concluded.
