BKON secures $3 million investment led by GoodWest Industries
Dean (left) and Lou Vastardis, BKON co-founders. Image courtesy of BKON
BKON, creator of the transformative extraction process called RAIN (Reverse Atmospheric Infusion) has secured a USD$3 million Series-A investment led by GoodWest Industries, a national aseptic beverage packaging company based in Douglasville, PA.
“The industry demand for RAIN brewed cold coffee has grown significantly this year as a result of our shelf-stable breakthrough,” said Dean Vastardis, CEO and co-founder of BKON. “With this investment, BKON is expanding its production capacity and enhancing its extraction capabilities so brands can commercialise higher strength coffee concentrates with RAIN’s proprietary flavour advantages.”
The next generation of BKON’s industrial Storm brewing system will quadruple the output of its facility and extend BKON’s licensing business for international expansion. Increased concentration levels will come with the benefit of precise and consistent flavour experiences when diluted. In addition, the Storm-XL will enable the commercialisation of Coldstretto as a means for innovating cold espresso drinks and cold ristretto consumer products.
Awarded 25 patents, BKON’s RAIN innovation has transformed the flavour quality and scalability of cold coffee beverages. Originally a basement start-up, BKON is now helping a growing number of America’s leading coffee brands innovate their cold coffee business from its New Jersey production facility and headquarters.
Comprising over $25 billion in annual sales, cold coffee is the most consumed natural refreshment beverage and the largest functional beverage in America. Yet, while cold coffee’s +7% compounded annual growth rate is expected to continue, factors are obstructing a greater potential.
“The quality limitations of shelf stable coffee have forced roasters to either compromise flavour or surrender to the constraints and added costs of refrigerated supply chains,” said Lou Vastardis, BKON co-founder and chief of Sales & Marketing. “BKON’s innovation leap eliminates these obstacles, so brands can scale cold coffee as successfully as they have their whole and ground bean business.”
Despite the Covid disruption, BKON grew its cold coffee brewing business by 300% in 2020 with 16 regional and national specialty coffee brands, including Allegro Coffee, a subsidiary of Whole Foods Market.
“In all my years of experience, I have never witnessed a company execute its commercialisation plans with the vigor and win record like BKON,” said Rick Lawlor, executive chairman of GoodWest Industries. “GoodWest was eager to lead this investment in order to accelerate BKON’s continued growth.”
As a new addition to BKON’s Board of Directors, Mr Lawler brings a deep understanding of manufacturing and a track record in growing successful enterprises. Prior to his executive chairman appointment, Mr Lawlor served as GoodWest’s chief executive officer where he led significant revenue growth over the past four years.
“BKON’s recent growth reflects the industry’s recognition that the market is in need of cold coffee innovation,” said Dean Vastardis. “Seeing this opportunity and witnessing our growth trajectory, GoodWest and our investor base are accelerating their support for BKON’s visionary beverage category aspirations.”
For more information about BKON, visit: www.bkonbrew.com.
Lucky businesses, congrats!