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LQR House invests in DRNK Beverage Cor

EditorBrando Bricchi
Published 2024-06-10, 02:40 p/m

MIAMI BEACH, FL - LQR House Inc. (NASDAQ:LQR), a player in the e-commerce spirits and beverage market, today announced the acquisition of a significant share in DRNK Beverage Corporation. The company purchased 1,920,000 shares at a price of $2.50 per share, amounting to a $4.8 million investment.

This strategic move by LQR House marks its entry into the non-alcoholic and ready-to-drink beverage sectors, which are seeing rapid growth. A recent Fact MR report showed the non-alcoholic beverage market at approximately $987.3 billion in 2024, with expectations to grow to $1,889.42 billion by 2034, at a CAGR of 6.7%.

The acquisition is a cash-based transaction that, according to LQR House, will not affect the company's reported cash on hand. It is seen as a response to the increasing consumer demand for healthier beverage options with less sugar and natural ingredients.

Sean Dollinger, CEO of LQR House, commented on the acquisition, highlighting the significant growth of these categories on their platform. He pointed out that this addition will help the company gain visibility on brick-and-mortar shelves, complementing its online presence. Dollinger assured investors that the deal avoids any stock dilution, underscoring the financial prudence of the investment.

LQR House, known for its flagship alcohol marketplace cwspirits.com, is expanding its portfolio to include DRNK's offerings. DRNK focuses on producing low-sugar, alcohol-free beverages that align with the current health-conscious consumer trends. These drinks are designed to provide functional benefits and cater to the preferences of modern shoppers.

The press release statement emphasizes that LQR House's acquisition of DRNK is a strategic step to innovate and adapt to changing consumer demands, while also enhancing its market position. The investment is expected to bring mutual benefits, leveraging DRNK's distribution network for LQR products.

The information in this article is based on a press release statement and has been reported without any additional commentary or analysis.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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