AMASS Brands Group plans to acquire a majority stake in sparkling protein water brand HpO, increasing its ownership from about 15% to approximately 50.0001% on a fully diluted basis. The company also secured a three-year option to acquire the remaining interest at a price equal to two times revenue. HpO produces plant-based sparkling protein water with 5 grams of protein per can, zero sugar, and 22 to 30 calories per serving. AMASS aims to leverage its distribution network to expand HpO nationally, citing growing demand for high-protein beverages driven in part by GLP-1 weight-loss medication use. The transaction will be funded with AMASS common stock, and shares were trading up 12.25% at $2.29 following the announcement.
AMASS Brands Inc. Common StockAMASS acquires majority stake in HpO, funded with stock, and shares rose 12.25%.
HpO is being acquired at a valuation based on 2x revenue, with AMASS expanding distribution.