Kona Gold Solutions, Inc., a hemp and CBD brand focused on the functional beverage sector, has signed a letter of intent to acquire Longwood, Florida-based Flo Beverages, LLC.
Kona Gold will perform its due diligence over the next few weeks and expects to close the acquisition within 30 days.
Flo Beverages, established in 2015, first entered the energy drink market with its SoFlo organic energy drinks, formulated and co-packed in-house, and available throughout Florida. The company has since grown and operates out of a 3,000-sq.-ft. facility in Longwood, which is a USDA-certified organic co-packing facility.
Flo Beverages recently launched LiKuid, an organic, ketogenic energy drink, available in three flavors that are currently distributed in Florida and Puerto Rico.
"I am very excited to announce the letter of intent to acquire Flo Beverages, an exciting company with smart ownership and great products," said Kona Gold Solutions CEO Robert Clark. "Started by brothers Lance and Evan Adler, Flo brings to Kona Gold Solutions an exciting product line in LiKuid and a team that runs a USDA organic-certified facility that knows how to formulate great tasting beverages. Flo operates its own production line, which brings exciting opportunities in offering co-packing for small to medium companies and producing limited seasonal runs.
"In 2020, we are looking to add a new product line, an all organic CBD energy drink. The acquisition of Flo Beverages provides the company now with in-house resources to tap into,” Clark continued. “We are excited about the opportunities Flo brings to Kona Gold and the resources Kona Gold will offer Flo to build its distribution footprint with LiKuid."