Dive Brief:
- REBBL announced Monday that its closed a $10 million investment round led by Boulder Investment Group Reprise that will allow the adaptogen-fueled herbal elixirs and tonics maker to expand its marketing efforts, according to Bevnet.
- Launched in 2013 by former Bossa Nova Superfruit co-founder Palo Hawken, the Berkeley, Calif.-based REBBL utilizes “superherbs” such as ashwagandha, turmeric and reishi mushroom as the base for its line of functional beverages, which are made with coconut milk and sold in 12 oz. plastic bottles. In March, it introduced two SKUs of plant-based protein drinks, thanks to an investment round of $4 million.
- This new round of funding will allow REBBL to continue building its presence in the natural grocery channel may help it break into conventional groceries as well.
Dive Insight:
It’s clear that investors are interested in beverages that are natural and perceived as healthy by consumers.
Boulder Investment Group Reprise’s investment portfolio also includes organic kombucha company Live Beverages, drinkable bone broth brand Bonafide Provisions and Hope Foods, so the company is putting its money where its mouth is — literally — by targeting healthy beverage choices.
Based on data from market analysis firm SPINS, REBBL has more than doubled its revenue in a year’s time and its brand of certified organic elixirs are now in over 2,500 stores across the country. In fact, it was the best selling functional beverage at natural grocers.
Some in the industry argue that it’s still a niche product and it will never reach mass appeal the way carbonated soda has, but others believe that today’s consumers — especially millennials — are looking for something different, and that healthy alternatives to soda will continue taking more of the overall beverage share. This large investment shows that someone is willing to bet on this kind of drink's future.