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The Weekly Sip is Food Dive’s column focused on the latest news in the rapidly changing and growing beverage sector. From inaugural product lines to big investments and controversial topics, this column aims to quench the thirst for developments in the category.
Monster closes craft beer plant due to alcohol struggles
Monster Brewing, a subsidiary of energy drink giant Monster Beverages, has announced the closure of its craft beer production facility in Salt Lake City, Utah. The decision comes as sales in the company’s alcoholic beverage division have declined.
The facility, which produced beers for Squatters and Wasatch, will no longer be operational. Monster Brewing President Ray LaRue stated that the brands will continue under Monster Brewing but will be manufactured at other locations within the company’s supply chain. The closure of the brewery will result in the loss of 25 jobs.
Despite the closure, LaRue expressed commitment to maintaining the high-quality standards and unique identities of Squatters and Wasatch. The Utah-based commercial team will continue to support the success and growth of the brands locally.
This development follows Monster’s announcement of a $130 million loss in impairment charges related to its struggling alcohol segment. The company ended the latest financial quarter with excess inventory of its alcoholic drinks, including The Beast canned cocktails and teas. Sales in the segment declined by 0.8% year over year.
Formerly known as Canarchy Brewing, Monster Brewing was acquired by Monster Beverages for $330 million in 2022. The company’s portfolio includes popular beer brands like Jai Alai IPAs and Dale’s American Pale Ale.
Jamba Juice partners with Jel Sert for powdered hydration
Jel Sert, a leading producer of drink mixes, has teamed up with Jamba Juice to introduce Singles to Go! powders. The collaboration aims to offer consumers the flavors of Jamba Juice smoothies in a convenient powdered form.
The drink sticks, available in Razzmatazz, Strawberries Wild, and Mango-A-Go-Go flavors, contain essential vitamins and minerals such as zinc, vitamin A, vitamin C, and vitamin E. With only 30 calories per stick, the powders provide hydration and immunity support with minimal additives.
Amy Pagels, Senior Vice President of Marketing at Jel Sert, highlighted the brand’s commitment to flavor innovation and consumer demand for convenient, tasty, and better-for-you products. The collaboration with Jamba Juice expands Jel Sert’s portfolio, following successful partnerships with other major brands.
The drink stick category is projected to reach $5 billion globally by 2030, according to Nielsen IQ data shared by Jel Sert.
Ryl Tea secures $15M funding with celebrity backing
Ryl Tea, co-founded by country music star Morgan Wallen, has raised $15 million in a Series B funding round to support its expansion and product development. The brand, known for its better-for-you iced teas, has garnered a total of $30 million in funding since its launch in 2022.
Featuring zero sugar and less than five calories per bottle, Ryl Tea offers a range of antioxidant-rich flavors, including Peach, Southern Sweet, Raspberry, Half & Half, and Green Citrus. The funding will facilitate the brand’s nationwide expansion to 40,000 stores by the end of 2025.
Ryl Tea, currently available at retailers like Walmart, Costco, and 7-Eleven, aims to surpass 100 employees by December as part of its growth strategy.
The company is led by industry veterans Blodin Ukella, former data scientist at Bai, and Ken Kurtz, former president of Bai and senior vice president of Fiji Water. Ukella emphasized that the funding round signifies confidence in Ryl Tea’s mission and momentum in redefining the modern beverage brand.