Prime Drink Group moves for ‘functional’ drinks brand Relax Downlow

Prime Drink Group has struck a woody to bargain a bulk involvement successful the institution down Relax Downlow, a Quebec-based ‘functional’ drinks brand.

In a statement, the radical said it signed “a binding missive of intent” to get a 70% involvement successful Relax Downlow owner, 9375-4208 Quebec.

Prime plans to transportation retired the transaction done a operation of shares and a currency outgo to the shareholders of 9375-4208 Quebec.

According to the presumption outlined successful the letter, Prime Drink Group plans to contented communal shares valued astatine C$255,000 ($179,111), astatine a terms adjacent to the ten-day volume-weighted mean trading price, successful enactment with Canadian Securities Exchange (CSE) pricing policies.

Additionally, the institution volition marque a “lump sum” currency outgo of C$95,000 to the shareholders of 9375-4208 Quebec upon the closing of the deal.

The Relax Downlow founders volition clasp a number involvement successful the company.

Relax Downlow laminitis and president Steven Levac – who is besides a Prime Drink Group worker – said helium is looking guardant to moving with Prime Drink Group “to instrumentality Relax Downlow to the adjacent level”.

“This brand, which I person wholeheartedly built with my spouse Dario, is present good connected its mode to becoming a must-have successful Quebec and beyond”, Levac added.

A “recovery functional beverages” brand, Relax Downlow is developed successful Quebec and approved arsenic a “natural wellness product” by Health Canada.

The beverage enactment designed for athletes is "caffeine-free, sugar-free, and gluten-free".

The drinks diagnostic much than 20 progressive ingredients, including BCAAs, amino acids, electrolytes, antioxidants, vitamins, and minerals, and incorporate 2 calories per serving, the radical said successful a statement.

The marque has launched its Citrus Iced Tea and Tropical Punch flavours successful an unnamed Quebec convenience store concatenation and the “upscale” edifice sector. Just Drinks has asked for much details.

NHL subordinate Lane Hutson is the authoritative ambassador of the brand.

In its 2024 capitalist presentation, Prime Drink Group outlined its extremity of achieving C$100m successful gross wrong 2 years, driven by enlargement efforts successful Canada and the US.

Prime Drink Group sees the acquisition arsenic a strategical measurement into a “fast-growing relaxation beverage market”, which is projected to scope C$1.3bn by 2030 with a CAGR of much than 15%, the connection added.

The radical said the transaction does not suffice arsenic a “major acquisition” nether CSE regulations and consequently, shareholder support is not anticipated arsenic a request for the woody completion.

Meanwhile, the projected acquisition is taxable to the “completion of owed diligence by Prime, signing of a definitive agreement, the support of the CSE and the restitution of conditions customary”, Prime Drink Group added.