May 31, 2017

Austin-based High Brew Coffee – maker of natural, low-calorie, ready-to-drink, cold brew coffee beverages – announced it has successfully closed on a $17 million Series B led by Boulder Investment Group Reprise (BIGR Ventures).

This round follows upon High Brew’s announcement in August of last year of the completion of a $4 million Series A-2 round of funding from CAVU Venture Partners. At that time, High Brew also announced the establishment of a distribution partnership with Dr. Pepper Snapple Group.

Launched in 2014, High Brew Coffee has seen rapid growth over its short history. The ready-to-drink coffee market was one of the top 10 fastest growing grocery chain categories last year; seeing sales jump by 14.6 percent. Riding this wave, High Brew Coffee achieved sales of more than one million cases last year, and has expectations of sales of 2 million cases this year.

“Witnessing the growth of High Brew over the past three years has been an amazing ride,” said founder and CEO David Smith. “With the closing of our Series B funding, we will be able to reach even more markets to elevate their coffee experience. As you can imagine, we are excited to write the next chapter in the High Brew story.”

High Brew has already garnered the top spot as the number one selling cold-brew in convenience stores, and is distributed across the U.S. through key retailers including Target, Whole Foods, Kroger, Safeway, and Sprout, among others.

Building Upon Success

Boulder Investment Group Reprise (BIGR) was founded by Carole Buyers, Duane Primozich, and Bill Weiland – three executives that managed an investment unit of Boulder Brands prior to that company being acquired by Pinnacle Foods for $975 million at the end of last year. After its launch in December 2014 with an initial tranche of $18 million, BIGR Ventures LP announced a $55 million close in September 2016.

The firm is building upon the success of their last fund, Boulder Brands Investment Group (BBIG) that backed EPIC Bar, which was acquired by General Mills, and Suja Juice, which partnered with Coca-Cola. This newest fund is focusing on investing in early-stage and startups companies focused on natural and organic foods.

Although this is not the first beverage investment for BIGR, having kombucha and drinkable vinegar company Live Beverages, and herbal elixir company REBBL in its portfolio, the deal does mark the first investment for BIGR in the competitive ready-to-drink coffee market, according to BevNet.

What sets High Brew apart from its rivals for BIGR is its stellar leadership team, Duane Primozich, BIGR co-founder and director of retail brand partnerships, told BevNet; stating that the High Brew management team was “among the best management teams out there today for a company.”

“Investing in High Brew is a real privilege for us at BIGR,” said Primozich in a company statement. “David’s track record of turning a beverage company into a household name, mixed with the company’s dedication to natural ingredients and quality products, means we have no doubt that High Brew will be the top ready-to-drink coffee in all channels in the not so distant future.”

-Lynda Kiernan

Lynda Kiernan is Editor with GAI Media and daily contributor to GAI News. If you would like to submit a contribution for consideration, please contact Ms. Kiernan at lkiernan@globalaginvesting.com.