Monster Beverage Corporation announced an asset purchase agreement with Vital Pharmaceuticals Inc, in which a subsidiary of Monster would acquire substantially all of Bang Energy’s assets, including a beverage production facility located in Phoenix, Arizona, for $362 million.
Monster Beverage noted that while it is hopeful the transaction will be completed there is no guarantee that it will receive Bankruptcy Court approval.
In October 2022, Bang Energy filed for Chapter 11 protections under the US Bankruptcy Code months after a California jury awarded Monster $293 million against the energy-drink maker and its founder and former CEO Jack Owoc in a false advertising case.
Bang Energy’s troubles, though, began in October 2020, when the company terminated its exclusive distribution partnership with PepsiCo (NASDAQ:PEP).
Bang Energy’s performance beverages include Meltdown, Quash, Vooz and Redline.
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