![]() “All business operations will continue, with improved product delivery and service to retailers through VPX/Bang Energy’s newly constituted legacy distribution network consisting of more than 269 best-in-class distributors,” the company said in the statement today. While it was not made public, if the recent agreement also involved settlement payments, Vital Pharmaceutical lost one and a half weeks ago another lawsuit filed by Monster Energy Co and was sentenced to pay its rival USD 293 million in damages for falsely advertising the ingredients and health benefits of its drinks.Īs it seems, this was the straw that broke the camel's back and forced Vital Pharmaceuticals to file “voluntary petitions for protection under Chapter 11 of the Bankruptcy Code in the Southern District of Florida.” However, Pepsi insisted on fulfilling the exclusive distribution rights until October 2023, which was ultimately confirmed by an arbitrator.įinally, in June 2022, Jack Owoc, CEO and Founder of VPX and Bang Energy announced “that all disputes with PepsiCo had been fully settled and resolved” and “both parties will enthusiastically and strategically cooperate in a nationwide joint effort to transition from PepsiCo distribution to Bang Energy’s new DSD partners.” Just eight months after the two companies signed their exclusive distribution deal, Bang announced it was terminating its partnership and filed a lawsuit against PepsiCo accusing its partner of “gross misconduct”. to distribute the portfolio of Bang Energy beverages in the United States. In April 2020, just one month after PepsiCo acquired energy drink maker Rockstar for USD 3.85 billion, the American multinational food, snack, and beverage corporation also entered into an exclusive alliance with Vital Pharmaceuticals Inc. The brand with the promise to give full taste with zero calories, has risen to become the third-largest energy drink brand, and in 2019, was the single-largest contributor to overall growth in the liquid refreshment beverage market. VPX intends to use the Chapter 11 process to recapitalize and emerge from bankruptcy well-positioned to continue its rapid growth in the beverage market.”īang Energy was introduced in 2012. ![]() According to a statement by the company published today “this filing is a restorative action to help the company recover from recent challenges, including multiple lawsuits that impacted the Company’s short-term outlook and the cost impact of reconstituting the company’s national distribution network that resulted in a summer revenue gap. Vital Pharmaceuticals (VPX), the parent company of Bang Energy, has filed for Chapter 11 protection.
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