Flow Beverage Enters Alcoholic Drinks Market with BeatBox Beverage Deal

1 Mins read

Shares of Flow Beverage soared as the spring water company announced its foray into the alcoholic drinks market through a partnership with BeatBox Beverage. The deal involves manufacturing and packaging BeatBox’s line of Party Punch.

Share Price Surge

In morning trading, Flow Beverage’s shares experienced a remarkable 16% surge, currently trading at C$0.26. The company’s shares have seen a substantial increase of 37% since the beginning of this year.

A Lucrative Partnership

Flow Beverage revealed that the agreement with BeatBox includes a commitment from the latter to purchase certain minimum annual volumes. This commitment is expected to generate approximately CAD 115 million ($84.1 million) in revenue over the course of the five-year deal.

Production is scheduled to commence between May and July of next year. Additionally, the agreement stipulates a take-or-pay provision, which requires BeatBox to pay 85% of the difference between the minimum annual volume and the actual volume purchased during a twelve-month period.

Expanding Manufacturing Agreements

This recent collaboration with BeatBox follows Flow Beverage’s previous three-year manufacturing agreement with Joyburst Beverages. The deal with Joyburst involves an assured annual production of 15 million units of Joyburst Hydration-branded beverages, which will be manufactured at Flow’s Aurora, Ontario facility.

Related posts

GitLab Stock Surges on First Ever Adjusted Operating Profit

1 Mins read
GitLab’s stock experienced a significant surge on Tuesday following the announcement of its first ever adjusted operating profit. Despite this positive development,…

Virgin Galactic Faces Stock Decline Amid Founder's Money Decision

2 Mins read
Virgin Galactic stock experienced a sharp decline in early trading on Monday due to founder Richard Branson’s announcement that he won’t be…

EyePoint Pharmaceuticals Announces Positive Results in Phase 2 Trial for Macular Degeneration Treatment

1 Mins read
EyePoint Pharmaceuticals, a Massachusetts-based company, revealed exciting news on Monday regarding the second-phase trial of its investigational treatment for macular degeneration. The…

Leave a Reply

Your email address will not be published. Required fields are marked *

60 − 51 =