Constellation Brands has made another move in the alcohol-free arena, purchasing a minority holding in US-based functional ready-to-drink brand Hiyo.
The ‘social tonic’ premix, which was founded in 2021 and is headquartered in Los Angeles, produces four non-alcoholic seltzer products: Blackberry Lemon, Peach Mango, Strawberry Guava and Watermelon Lime. Available domestically in 12oz (35.5cl) cans, the line contains ingredients including ashwagandha, L-theanine, lion’s mane mushroom, lemon balm, passion flower and ginger.
Hiyo is currently available in around 3,000 outlets across the US, including Whole Foods Market, Sprouts Farmers Markets and The Vitamin Shoppe.
“Their distinctive brand and delicious liquid make it clear to see why Hiyo is one of the fastest-growing names in the functional non-alcoholic space, and we look forward to collaborating with the team to help bring their innovative products to even more consumers,” said senior VP of new business ventures at Constellation Brands, John Utter.
The start-up announced a US$19m funding round at the start of the year in a “scaling” effort.
Just under two years ago, Constellation made another alcohol-free play in 2023, purchasing a minority stake in the Töst brand. In both instances, neither the size nor the cost of the transactions were disclosed.
Also this week, the multi-category group revealed that its chief growth & strategy officer is moving on, four months after assuming the senior position.
