|Vita Coco's product lines include Vita Coco, Vita Coco Kids and Vita Coco Café.|
NEW YORK — Vita Coco is taking a crack at the Chinese market. All Market Inc., maker of the coconut water brand, has announced a distribution deal with Red Bull China, which also has acquired a stake in the company.
“Vita Coco’s growth in the U.S. has been well documented, less so the brand’s exponential growth in Europe and more recently, Japan,” said Michael Kirban, chief executive officer of Vita Coco. “We expect China to follow suit. Outside the U.S., Vita Coco sales are growing as much as 300% in certain markets. Vita Coco is quickly becoming a globally recognized brand, and we’re thrilled with the new alliance.”
The Reignwood Group, Beijing, China, parent company of Red Bull China, purchased approximately 25% of the business at an enterprise valuation of $665 million. The agreement offers Vita Coco countrywide availability through Red Bull China’s distribution and retail network to reach approximately 1.3 billion consumers in a market known to appreciate the taste and functional benefits of coconut water.
“We immediately recognized the potential for the Vita Coco brand in China,” said Chanchai Ruayrungruang, chairman and founder of Reignwood Group. “The brand’s proposition and values are an ideal fit for Reignwood Group’s growth strategy and we are confident health-minded Chinese consumers will quickly embrace and remain loyal to the Vita Coco brand.”Vita Coco’s portfolio includes Vita Coco, Vita Coco Café and Vita Coco Kids.