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TheBuzz Erika Engle |
Maui Juice Co. owner
thirsty to buy more
U.S. distributorsTHE Florida-based company that purchased the Maui Juice Co. earlier this year is poised to take its taste of aloha to a national audience.
"Our whole thing is to take somebody and give them the Maui experience," said Ted Farnsworth, chairman of XStream Beverage Group Inc.
The company announced this week that it bought Master Distributors Inc., a mid-Atlantic distributor of nonalcoholic drinks serving Washington, D.C., Virginia and Maryland. Beverage Network Group Inc., XStream's distribution arm, now reaches into Massachusetts, Connecticut and south Florida, but they're on a bit of a shopping spree.
"We'll be buying more distributors on the mainland and very possibly looking around Hawaii as well," Farnsworth said.
XStream's acquisition of Master Distributors is valued at $3.45 million in cash and debt plus more than 1.9 million shares of stock worth nearly $5.8 million as of the close of trading yesterday.
Master Distributor's unaudited sales of nearly $4 million for the first six months of the year is double XStream's record sales for the same period.
Maui Juice, established in 1986, had three employees when it was purchased in March, producing seven flavors of juice in 150-gallon batches.
Mainland marketing means a need for a formula less perishable than the fresh juices now distributed in Hawaii.
XStream is developing a shelf-stable line to compete against popular drink lines such as Snapple and Sobe, "but they will be functional, like a ginseng or B-12 ... and all-natural," he said. The mainland roll-out is about four months away. The company is also in talks for international distribution.
The product is also gaining a local following among retailers and quaffers. Kailua's Kalapawai Market added four flavors of Maui Juice about two weeks before last week's Hawaii Lodging, Hospitality and Foodservice Expo at Blaisdell, according to shop owner Don Dymond.
One of the flavors, Ginger Blast, sold out in the first week. It outsold the other flavors 2-to-1, though the Noni Lemonade is also extremely popular, Dymond said.
"There seems to be a lot of interest in hyped-up beverages ... You put the word 'blast' on it and it's going to fly out," he chuckled.
It's mostly local customers that are buying up Maui Juice, Dymond said.
By the time of the trade show, all four flavors had sold out and Dymond placed his third order.
Farnsworth said Dymond stopped by the Maui Juice booth and told him, "You've got a winner on your hands."
Dymond observed that the highly competitive beverage industry is a tough business -- this, from a retailer and restaurateur.
Maui Juice Co. owner thirsty to buy more U.S. distributors
THE Florida-based company that purchased the Maui Juice Co. earlier this year is poised to take its taste of aloha to a national audience.
"Our whole thing is to take somebody and give them the Maui experience," said Ted Farnsworth, chairman of XStream Beverage Group Inc.
The company announced this week that it bought Master Distributors Inc., a mid-Atlantic distributor of nonalcoholic drinks serving Washington, D.C., Virginia and Maryland. Beverage Network Group Inc., XStream's distribution arm, now reaches into Massachusetts, Connecticut and south Florida, but they're on a bit of a shopping spree.
"We'll be buying more distributors on the mainland and very possibly looking around Hawaii as well," Farnsworth said.
XStream's acquisition of Master Distributors is valued at $3.45 million in cash and debt plus more than 1.9 million shares of stock worth nearly $5.8 million as of the close of trading yesterday.
Master Distributor's unaudited sales of nearly $4 million for the first six months of the year is double XStream's record sales for the same period.
Maui Juice, established in 1986, had three employees when it was purchased in March, producing seven flavors of juice in 150-gallon batches.
Mainland marketing means a need for a formula less perishable than the fresh juices now distributed in Hawaii.
XStream is developing a shelf-stable line to compete against popular drink lines such as Snapple and Sobe, "but they will be functional, like a ginseng or B-12 ... and all-natural," he said. The mainland roll-out is about four months away. The company is also in talks for international distribution.
The product is also gaining a local following among retailers and quaffers. Kailua's Kalapawai Market added four flavors of Maui Juice about two weeks before last week's Hawaii Lodging, Hospitality and Foodservice Expo at Blaisdell, according to shop owner Don Dymond.
One of the flavors, Ginger Blast, sold out in the first week. It outsold the other flavors 2-to-1, though the Noni Lemonade is also extremely popular, Dymond said.
"There seems to be a lot of interest in hyped-up beverages ... You put the word 'blast' on it and it's going to fly out," he chuckled.
It's mostly local customers that are buying up Maui Juice, Dymond said.
By the time of the trade show, all four flavors had sold out and Dymond placed his third order.
Farnsworth said Dymond stopped by the Maui Juice booth and told him, "You've got a winner on your hands."
Dymond observed that the highly competitive beverage industry is a tough business -- this, from a retailer and restaurateur.
"Those are easy businesses," he said. "Golf is a business I wish was easy."
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Erika Engle is a reporter with the Star-Bulletin. Call 529-4302, fax 529-4750 or write to Erika Engle, Honolulu Star-Bulletin, 500 Ala Moana Blvd., No. 7-210, Honolulu, HI 96813. She can also be reached at: eengle@starbulletin.com