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Vital Pharmaceuticals (VPX Sports), the parent company of energy drink Bang Energy, has filed for Chapter 11 bankruptcy in Florida, US. VPX Sports plans to regain its market share in Bang Energy, which was lost when Pepsi became the US distributor of the brand's beverages. The company intends to use Chapter 11 to "recapitalise and emerge" from bankruptcy to continue its growth in the beverage sector. A VPX statement said: "The filing will 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". As part of the filing, VPX is allowed to continue business operations with enhanced product delivery and service to retailers through Bang Energy's new distribution network consisting of over 269 distributors. An additional $100 million loan has been provided to the company from VPX's "esteemed syndicate lenders," in order to ensure operations continue uninterrupted. VPX has also noted that it has the intention to create a new state-of-the-art "decentralised direct store distribution (DSD)" network for its Bang Energy brand, which will allow Bang Energy to get back to its "pre-Pepsi meteoric annual success". Bang Energy’s DSD network will launch nationwide as it officially completes its exit from the Pepsi relationship this month. The move is said to have "no impact product availability". You may also like to read: