VANCOUVER, British Columbia, Canada – Billy Goat Brands Ltd, a venture capital platform focused on identifying, sponsoring and incubating environmental, social and governance (“ESG”) focused companies in the ocean economy, is pleased to announce that its portfolio company FunGuys Beverages has announced key operational updates that will further accelerate bringing its KOLD line of cold-brewed coffee beverages to market.
FunGuys is headquartered in British Columbia and is working to become a leading producer and distributor of organic chaga and lion’s mane mushroom-infused products as an alternative sustainable coffee ritual for today’s health-conscious consumer.
Manufacturing and Production Update
As previously announced, FunGuys has secured a manufacturing and distribution agreement in the Dallas-Fort Worth area of Texas for its KOLD line of functional beverages. Recently, FunGuys placed a large order for its first production run, which is expected to be executed in the near future. The Texas facility will enable GOAT’s Portfolio Company to achieve scale and supply its North American distribution channels.
FunGuys is also expected to enter the first phase of its bottle testing program by the end of 2021. Pending the completion of bottle testing, the bottles will then be sent to LOOP for the second phase of testing before entering the North American market and being launched as part of the TerraCycle LOOP platform (“LOOP”).
LOOP Update
FunGuys’ strategic partnership with LOOP will enable it to leverage the platform’s reusable packaging distribution channel for its KOLD line of beverages. LOOP is focused on making eco-friendly packaging solutions a regular part of the circular economy, by encouraging manufacturers to own and take responsibility for their packaging waste. By becoming part of LOOP, FunGuys expects to benefit from its integrated network of retail partners in order to expand KOLD’s presence amongst major grocery companies, restaurants and other consumer-centric food and beverage players that promote sustainable packaging solutions and eco-friendly experiences.
Marketing
FunGuys is on track to enter the North American market through the finalization of its e-commerce store, including fulfilment by third-party logistics providers. The Portfolio Company’s development of its e-commerce website is complete and it is ready to be part of the value chain that also involves various other stakeholders. FunGuys has advanced its go-to-market strategy and expects to have the final designs for its KOLD-branded bottles by the end of 2021.
GOAT owns 100% of FunGuys and is committed to providing ESG-focused growth opportunities for its investors. The cold-brew coffee market is projected to grow by $1.37billion during 2021-2025, which is an implied CAGR of 26.44%.1 This presents a significant growth opportunity for the KOLD line of mushroom infused cold brew coffee to enter the North American market in early 2022.
Management Commentary
“We are thrilled to see the progress that has been made with the manufacturing and launch of FunGuys’ KOLD line of products. The growth of the FunGuys business also represents the next phase in the evolution of GOAT. Our investees embody the visions of their innovative thought leaders and FunGuys is no exception in the rapidly growing functional mushroom space,” said Tony Harris, Chairman and Chief Executive Officer of GOAT.
“GOAT is committed to supporting FunGuys’ vision of becoming a disrupter in the sustainable alternative beverage market. As GOAT works to foster the ocean economy and curb the effects of climate change through its investments, our team is committed to supporting GOAT’s investees to help them make a difference by bringing sustainable yet profitable products and services to market, for a healthier future for all,” said Mr. Harris.
