Monster Beverage Corporation has completed the acquisition of Vital Pharmaceuticals, Inc. and certain of its affiliates, collectively known as Bang Energy, for approximately $362 million (€329.9 million), subject to adjustments.
The acquired assets include Bang Energy beverages and a beverage production facility in Phoenix, Arizona, the company said.
'A Good Fit'
Chair and co-chief executive officer of Monster Beverage, Rodney C Sacks 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."
Vice chair and co-chief executive officer Hilton H Schlosberg added, "We are pleased to add Bang Energy beverages, with their distinct market positioning and loyal consumer base, into our energy drink portfolio.
"As part of the transaction, we are also acquiring a state-of-the-art beverage plant in Phoenix, and we will be increasing production at this facility to accommodate certain of our other brands."
Monster was recently named as the 22nd 'most-chosen' grocery brand internationally, in the latest edition of the Kantar Brand Footprint report.
In the second quarter of its financial year, Monster saw net sales rise 12.1%, with its Monster Energy Drinks segment seeing sales rise 9.7%.
Elsewhere, its Strategic Brands segment, which primarily includes the various energy drink brands acquired from The Coca-Cola Company, saw sales up 26%, while its Alcohol Brands segment, which is comprised of The Beast Unleashed as well as a a number of craft beers and hard seltzers acquired through its CANarchy acquisition, reported an 88.1% increase in sales, albeit off a lower base.
Monster said it implemented pricing actions in the United States and certain other international markets in 2022 and continued to implement price increases in certain international markets at the start of 2023.