Siddhi Capital raises $135M, Diageo Disappoints 🥃

Author

CPG WIRE
August 01, 2024

GM and Happy Thursday, folks. Here’s what we’re covering this morning:

  • J.M. Smucker looks for Voortman buyer 🍪

  • BranchOut raises $3.9M in financing 🥑

  • Blake Lively launches haircare brand 🎯

  • Gap collabs with Madhappy 🧥

  • JAJA Tequila refreshes packaging 🍹

Deals 💰

Mergers & Acquisitions 

  • J.M. Smucker has tapped Goldman Sachs to find a buyer for Voortman Bakery, a Canadian producer of cookies and wafers. Smucker acquired Voortman last year as part of its $5.6B deal for Hostess Brands. Voortman could fetch north of $350M in a sale. Reuters

Fundraising

  • Siddhi Capital secured $135M for Fund II. The consumer-focused growth equity firm has backed Aura Bora, Mid-Day Squares, Little Spoon, immi, Recess, and many other brands. Melissa Facchina and Steven Finn co-founded the firm in 2020. TechCrunch

  • BranchOut Foods, a producer of gently dehydrated fruit & veggie products, raised $525K in equity funding and secured a $3.4M convertible note from Kaufman Kapital. BranchOut posted revenue of $2.8M in 2023. GlobeNewswire

  • UK-based nutrition science startup Zoe scored $15M from Coefficient Capital to expand its presence in the U.S. The company provides microbiome testing kits and offers guidance and nutritional supplements to improve one’s diet. Sifted

What’s New 🤩

Apparel, Cosmetics, and Wellness

  • Blake Lively is launching a haircare brand called Blake Brown on August 4th. The line will retail exclusively at Target and prices will range from $18.99 to $24.99. They made some interesting choices with the branding and packaging 👇 People

  • DUNE Suncare is launching what appears to be a body bronzer later today. Instagram

  • Gap joined forces with Madhappy to release a 41-piece casualwear collection. The collection drops on August 2nd. Gap’s turnaround strategy — spearheaded by CEO Richard Dickson — appears to be going well. Gap stock is up nearly 130% since Dickson took the helm last August. Fashion Dive

  • Greek artist Kris Betta launched a new beauty brand called Betta Beauty. Their debut products include blush, highlighter, lip gloss, and a face sunscreen. Betta Beauty

  • CEO Britany LeBlanc and founder Alex Kummerow are attempting to revive Herbivore Botanicals, the once-hot beauty brand that launched in 2011. Vogue Business

  • Starface dropped a new product — Hydro-Star Clear Pimple Patches. Instagram

Food, Beverage, and Alcohol

  • JAJA Tequila just refreshed their packaging. The textured bottle is a nice touch and the rustic labels work pretty well too. Instagram

  • Hoste, a Chicago-based purveyor of ready-to-serve cocktails, unveiled their newest product — Mezcal Negroni. Great-looking label and carton. The Spirits Business

  • Masala Mama, a Brooklyn-based seller of Indian cooking sauces and pantry staples, launched a range of ready-to-eat legumes. Food Business News

  • Uncrustables worked with Soulsight to refresh their packaging. The changes might seem minor but IMO they’re impactful. J.M. Smucker expects Uncrustables to be a $1B brand by 2026. The Dieline

  • The limited-edition Little Spoon x Graza collab is live. The packaging and the accompanying campaign are both pretty great. NOSH

Data 🖥️

  • Diageo had a pretty rough Fiscal 2024. Some interesting data points: Casamigos sales down 22%, Don Julio sales up 12%, Bulleit sales up 12%, and RTD cocktail sales surged 15%. Diageo’s vodka portfolio — Ciroc, Ketel One, and Smirnoff — all dropped. Beer was a bright spot for Diageo with net sales increasing by 18%. Diageo stock hit a four-year low. Diageo

  • Campari, on the other hand, had a pretty decent first half of 2024. The company reported solid net sales growth and Espolòn Tequila posted double digit growth. Their aperitivo brands — Campari & Aperol — also posted solid growth. The Spirits Business

Distribution News 🚚