LeanLife Health Inc (CSE:LLP) (FRA:LL1) (OTC:LHLNF) has announced a major sales agreement with Eclypse LLC, a private US company in the beverage space, to grow its Mike Tyson-branded Iron Energy drink in the country.
The key principal of Eclypse, Cathal O'Flaherty, spent more than 16 years at Constellation Brands, where he helped the company account for more than half of the US total sales of imported beer, the company said.
O'Flaherty has also worked with iconic brands like Corona Extra and Modelo Especial, and he helped the import beer division grow from C$1 billion to C$5 billion in revenue. Prior to Constellation, O'Flaherty spent 15 years with Anheuser Busch's wholesale operations division. More recently, he partnered closely with Invest Northern Ireland, the Vermont Cider Company and Vitani Spirits.
READ: LeanLife Health submits nine Temporary Market Authorizations as it prepares to launch Mike Tyson-branded Iron Energy drink in Canada
To incentivize Eclypse, LeanLife said it will provide milestone bonuses when Iron Energy sales reach US$10 million and US$20 million.
"The company continues to build a solid foundation by working solely with major distributors and agents who have a track record of building and growing sales in the beverage sector,” LeanLife CEO Stan Lis said in a statement.
“I am very pleased to add to our roster of sales agents a company whose executive has helped make Corona one of the best-selling beers in the United States. I look forward to working closely with them to facilitate an aggressive sales roll-out across America in 2021."
Iron Energy is a market leader in Poland's energy drink market and is a leading brand in the Middle East, the company said. LeanLife believes the product will also appeal to North American consumers and quickly gain retail acceptance.
The annual market value of the combined US and Canadian energy drink markets is estimated at more than US$14 billion. Red Bull is the market leader, followed by Monster and Bang. While Red Bull pursues a premium price strategy, the company said, LeanLife will be aggressively priced and shelf positioned to appeal to a broad consumer base.
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