DENVER, CO / ACCESSWIRE / June 1, 2017 / New Age Beverages Corporation (NASDAQ: NBEV) the Colorado-based leading all-natural healthy functional beverage company whose brands include XingTea®, XingEnergy ®, Aspen Pure®, Búcha® Live Kombucha, Marley One Drop®, Marley Mellow Mood®, and CocoLibre® today announced the closing of the acquisition of Premier Micronutrient Corporation. The acquisition catapults the Company's Health Sciences Division and New Age's plans to develop the next generation of healthy functional beverages. The intellectual property addition of more than 10 major patents and patents pending significantly increases New Age's intangible assets and underpins the Company's planned portfolio launches targeted to the medical and pharmacy channels.
The closing of the acquisition allows New Age to fully capitalize on the intellectual property of Premier Micronutrient Corporation (PMC) and their wealth of patents, studies, clinical trials, science and medical expertise. In consideration for 100% of the assets and interests of PMC, New Age issued 1.2 million restricted shares to the shareholders and debt holders of PMC to obtain the assets and all of the intellectual property of the Company debt free and unencumbered.
The closing of the acquisition will enable New Age to begin consolidation of PMC into its operations immediately. No cost synergies are envisioned as part of the acquisition, but the revenue synergies from the launch of new products using PMC's expertise and differentiated technologies are expected to exceed $10 million over the next 12 to 18 months. As the PMC envisioned portfolio is primarily targeted to the medical and pharmacy channels, the Company expects these products to have a material impact on the Company's gross margin through mix improvement.
Post completion of the external audit of PMC that is currently underway, New Age also expects to record a significant positive balance sheet impact, given the more than $30 million that was invested by the Department of Defense and other groups to develop the technologies, insights, and supporting studies and trials.
Brent Willis, Chief Executive Officer of New Age Beverages remarked, "We are very pleased to have closed the PMC acquisition so quickly so we can get on with capitalizing on an unbelievable array of breakthrough technology for the beverage industry. The timing couldn't be more right as consumers are increasingly seeking healthier functional alternatives. The early response from likely influencers, customers, and distributors in the medical channel, gives us a tremendous amount of confidence in our potential with this portfolio. Their support in this endeavor opens up a powerful new vertical for New Age that we believe is virtually untapped."
About Premier Micronutrient Corporation (PMC)
Premier Micronutrient Corporation (PMC) was founded in 2000 to develop formulations in cooperation with the Department of Defense and NASA. Since inception, PMC has worked with the Marine Corps Systems Command that contracted PMC to adapt its formulations to protect high-risk military personnel. PMC operated for more than 10 years developing protective products and conducting research for the Department of Defense.
PMC received Congressional support leading to eleven studies that have demonstrated the validity of PMC's formulations to decrease oxidative damage, improve immune function, reduce inflammation, protect against neurologic symptoms and recovery from concussions, recovery from hearing and balance disorders, reversal of vascular disease and lipid abnormalities, and protect against hostile environmental factors such as radiation. The products have been shown to be completely safe in all studies and in more than 10 years of public consumption.
About New Age Beverages Corporation (NASDAQ: NBEV)
New Age Beverages Corporation is a Colorado-based, leading all-natural tea and healthy functional beverage company that was founded in 2003. The Company competes in the fast growing healthy functional beverage segments including Ready to Drink (RTD) Tea, RTD Coffee, Kombucha, Energy Drinks, Relaxation Drinks, Coconut Waters and Functional Waters with the brands XingTea®, Marley One Drop®, Búcha® Live Kombucha, XingEnergy®, Marley Mellow Mood®, Coco-Libre®, and Aspen Pure® PH and Aspen Pure® Probiotic Water. The Company's brands are sold across all 50 states within the US and in more than 10 countries internationally across all channels via direct and store door distribution systems. The company operates the websites www.newagebev.us, www.newagehealth.us, www.mybucha.com, www.xingtea.com, www.aspenpure.com, www.drinkmarley.com, and www.cocolibre.com.
Safe Harbor Disclosure
This press release contains forward-looking statements that are made pursuant to the safe harbor provisions within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements are any statement reflecting management's current expectations regarding future results of operations, economic performance, financial condition and achievements of the Company including statements regarding New Age Beverage's expectation to see continued growth. The forward-looking statements are based on the assumption that operating performance and results will continue in line with historical results. Management believes these assumptions to be reasonable but there is no assurance that they will prove to be accurate. Forward-looking statements, specifically those concerning future performance are subject to certain risks and uncertainties, and actual results may differ materially. New Age Beverages competes in a rapidly growing and transforming industry, and other factors disclosed in the Company's filings with the Securities and Exchange Commission might affect the Company's operations. Unless required by applicable law, nBev undertakes no obligation to update or revise any forward-looking statements.
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SOURCE: New Age Beverages Corporation