Brain Enhancing Products in a Peaking Organic Foods Market
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Koios Beverage (CSE:KBEV, OTC:SNOVF) is a US-based nootropic and functional beverage company specializing in cognition-improving drinks, powders and capsules to satisfy a burgeoning market of organic food and drink while also addressing demand from consumers looking to boost brain function.
Nootropics are cognitive-enhancing supplements which can act as alternatives to stimulants like coffee. When ingested, nootropics can augment learning capacity and information retention, improve memory enhancement, improve sleep and reduce anxiety, to name a few of their capabilities. Koios uses a proprietary blend of 11 ingredients to increase oxygen levels in the brain, provide mental clarity and provide nutrients which encourage elevated brain function.
The nootropic market is expected to grow by a compound annual growth rate (CAGR) of 17.9 percent and is estimated to be worth $6 billion annually by 2024. Meanwhile, the market for nootropic drinks–also known as functional beverages–is expected to grow by a CAGR of 7.4 percent to $105.5 billion by 2021. With products in both categories, Koios Beverage is well placed to capitalize on this demand.
Koios Beverage has an available distribution network of over 2,000 retail locations in the US, host to the largest consumer base nootropics. This network includes high-profile retailers such as 7-11 and True Fit Gyms and a significant online presence through the company’s partnership with Wishing-U-Well and by being an Amazon choice product.
As an athlete, CEO Chris Miller saw the need for a company like Koios Beverage to supply organic supplements and beverages which could sustain individuals in high-performance positions. Koios Beverage’s management team and board bring a wealth of experience in entrepreneurship, corporate development and marketing, all of which is aimed at deploying the Koios brand.
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- Functional beverage market to be worth $105.5 billion by 2021
- Nootropics are healthy alternatives to stimulants and prescription drugs
- Multi-pronged marketing approach includes promotional bus tours and in-house field teams
- Entry into cannabis-infused beverages through its wholly owned subsidiary Cannavated targets another fast-growing market
Complex Nootropic Powder
The growing Nootropics market
Valued at over $1 billion annually, the market for Nootropics is booming. BCC Research found the Nootropic market is expected to grow by a CAGR of 17.9 percent and is estimated to be worth $6 billion annually by 2024.
Silicon Valley’s tech workers are already using these products to increase performance in an increasingly competitive job sector. According to the Washington Post, some tech-workers are trading “study drugs” like adderall–which increase blood pressure and can lead to heart problems–for all-natural brain enhancers.
The Koios solution
Koios Beverage’s all-natural complex nootropic powder and line of beverages provide users with a wide-range of cognitive benefits. They can improve users’ cognitive function, information retention and increase the brain’s resistance to harmful chemicals.
Energy drinks and coffee can increase anxiety, but nootropics supplements like Koios’ Powder Blueberry Lemonade use a natural proprietary blend of vitamins and compounds to increase mental performance while also improving brain health.
Koios’ complex nootropic powders come in a variety of flavours. Their complex products–meaning full of enzymes for brain-health–and include vitamins like B12 and B06 for mood and memory enhancement, compounds like Huperzine A to improve focus and herbs like cat’s claw bark to boost immune function and reduce inflammation in the body.
The functional beverage market
Due to a growing emphasis on the importance of organic food and drink, North America is the greatest consumer of functional beverages globally, with the US consuming the lion’s share of these products on the continent.
The functional beverage market is forecasted to experience a CAGR of 7.4 percent between 2017-2022. During the same period, functional foods, which include food products like soy-products and probiotics, are only expected to see a 7.4 percent growth.
Although the consumption of traditional soda beverages is declining, a growing interest in organic, health food and beverages has led to a surge in organic food purchases. Sales by Bai Brands, another functional beverage company, reached $425 million in 2017 and was acquired by the Dr. Pepper Snapple Group (NYSE:DPS) in 2016 for $1.7 billion, while Pepsico (NYSE:PEP) purchased KeVita, another functional beverage company, for $200 million in 2016.
Koios Beverage also offers the company’s nootropic formula in a great-tasting drink form. Known as functional beverages, the company’s brain-boosting products come in berry, pear guava, peach mango and pomegranate acai flavors.
The beverages are formulated with the same care and vitamins as Koios Beverage’s nootropic powders but also include MCT Oil to improve blood sugar regulation and heart-healthy hemp oil to combat autoimmune diseases.
The company also offers a line of capsules which use the same formula as their functional beverages, giving users all of the same cognitive benefits in an easily digestible capsule.
Koios’ soon to be released Fit Soda is an organic, calorie and sugar free soda beverage with added supplements, such as protein. Fit Soda will be found in a supermarket’s beverage section and–because of its ingredient list–by the produce section as well.
The company’s newly announced subsidiary, Cannavated, is developing a line of cannabis-infused beverages with Koios Beverage’s nootropic drink formula to satisfy a growing demand. According to Chris Miller, CEO of Koios, “The industry has proven it is going in the direction of cannabis-infused drinks.”
Cannavated plans on partnering with licensed producers, cultivators and others to produce their beverages. By entering into “white labelling” turn-key agreements with other companies, Cannavated can also assist other companies in producing their own cannabis-infused beverages.
Chris Miller—CEO and Founder
Chris Miller is the founder and CEO of KOIOS, serving on the board of directors and executive staff, while leading the sales and marketing teams. An entrepreneur at an early age his first exit from a company he founded and grew was in 2008, at the age of 27. He created KOIOS out of the huge need he saw in the marketplace for sustainable and earth grown products that could enhance human productivity, ultimately reaching hundreds of thousands of people around the United States and Canada within the first three years of operation. He is involved in crafting company culture, executing the vision and driving high level marketing and sales efforts. He has spoken globally on entrepreneurship and effectively growing sales organizations and has been recognized as a leader by some of the top organizations in the world four outstanding leadership and entrepreneurial ability. His lifelong obsession with sports led him to playing Rugby at the University of Nevada, where he graduated with a degree in economics.
Theo Van Der Linde—CFO
Mr. van der Linde is a chartered accountant with more than 20 years of experience in finance, reporting, regulatory requirements, public company administration, equity markets and the financing of publicly traded companies. Mr. van der Linde has worked and is currently working on projects in South Africa, West Africa, East Africa, Peru, United Kingdom, Sri Lanka, the United States and Norway. He has served as a chief financial officer and director for a number of TSX Venture Exchange- and Canadian Securities Exchange-listed companies over the past several years.
Scott Walters is co-founder and chief executive officer of Molecular Science Corp, providing industry with cannabis focused ancillary services, testing and analysis backed by commercial science teams. Scott has extensive business experience developing successful cannabis start-ups focused on providing scalable services to the sector. He previously developed and led THC BioMed, Canabo Medical and Empower Clinics (USA). Prior to his 2013 pivot to cannabis-focused industries, he spent 20 years in investment banking and derivatives trading with a focus on resources and technology at leading Canadian banking firms.
Konstantine Lichtenwald specializes in providing corporate finance, valuation, taxation, financial reporting, consulting and other accounting services to both small businesses as well as public commodity resource companies. He also assists in many aspects of clients’ administration, financing and other activities. He has also worked at Ernst & Young GmbH, Germany, in the assurance department. He earned his bachelor of business administration degree from Pforzheim University, Germany, and holds the professional designation of Chartered Professional Accountant (CPA, CGA), where he is a member of Chartered Professional Accountants of B.C. and Canada. He has had extensive experience as a controller and CFO of numerous publicly traded and private corporations in several industries.
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