The owner of Four Loko, Phusion Projects, is considering a divestment of the RTD brand, according to a report this week.
Chicago-based Phusion Projects is said to be working with investment bank JPMorgan on a potential sale, according to an article by Reuters citing “people familiar with the matter”. When contacted by Global Drinks Intel today (4 March), a JPMorgan spokesperson declined to comment on the claim.
Launched by Phusion Projects in 2005, Four Loko is now tipped to be valued at US$400m, the report claims.
The flagship Four Loko flavoured malt beverage features 16 flavour variants in 69.5cl cans and carries an ABV of 13.9%. Extensions include the Pregame shots line and Remix non-carbonated wine-based RTDs. All SKUs were “voluntarily reformulated” in late 2010 to remove caffeine, guarana and taurine, following pressure from regulators in the US.
Phusion Projects’ portfolio also houses Mamitas Tequila Seltzer, Básico Tequila, Basic Vodka, Moksato Life wine, and the canned FMB brand, Earthquake.
Last month, Brown-Forman and The Coca-Cola Co launched their co-branded Jack & Coke RTD in larger, “more sessionable” cans and at a lower alcohol content for the US. In January, Japanese group Asahi introduced its RTD brand Zeitaku Shibori to the US, marking the first time an Asahi RTD will be produced in-market.
