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Darco Capital acquires ownership stake in two spirit brands

Family office Darco Capital has acquired an ownership stake in spirit brands American Harvest Vodka and Beach Whiskey.

Family office Darco Capital has acquired an ownership stake in spirit brands American Harvest Vodka and Beach Whiskey. Both American Harvest Vodka and Beach Whiskey will be a part of the newly formed 1776 Spirits Company. No financial terms were disclosed.

PRESS RELEASE

PHILADELPHIA–(BUSINESS WIRE)–Today, entrepreneur and investor, David Adelman, has announced that Darco Capital, his family office that has made over 50 venture capital and private equity investments across multiple disciplines in the beverage; fintech; sports & media; life sciences; and consumer-facing brand space, has acquired a full ownership stake in American Harvest Vodka and Beach Whiskey. The spirit brands will now be a part of the newly formed 1776 Spirits Company, which is fully invested in providing the experienced infrastructure and resources required to market the spirits, facilitate distribution expansion, and develop innovative new variants for both brands.

The brands will continue to be supported throughout the year with an integrated national marketing platform to aggressively market and merchandise the brands, along with media buys and partnerships with monthly subscription services that deliver craft spirits directly to doorsteps to aid in consumer discovery.

About the brands:
American Harvest: “The Spirit of America,” American Harvest Organic Vodka is proudly handcrafted in Idaho, in small batches from organic Rocky Mountain wheat, certified organic ingredients, and water from deep beneath the Snake River Plain, yielding a distinctly smooth and silky spirit with a crisp, clean taste that was awarded Double Gold from the San Francisco World Spirits Competition. The company has plans to launch five botanical flavor/ready to drink seltzers in 2021 featuring Mango Lime, Cucumber Mint, Black Cherry, Ginger Lime, and Cucumber Lavender.

Beach Whiskey: Conceived in two different flavors, Island Coconut and Bonfire Cinnamon, Beach Whiskey’s mix-ability lets consumers reinvent their favorite cocktails and discover new ones. The unique filtration process creates a distinctly smooth, round mouthfeel that gives Beach Whiskey drinkability unlike other harsh whiskeys, making it perfect on its own or in a cocktail. The brand also has plans to expand into the ready-to-drink cocktail space in 2021.

Beverage distribution expert, Rebecca Running, will serve as CEO of 1776 Spirits. Running has over 30 years of distributor management experience, most recently, serving as President and General Manager for Los Santo International, and other senior management positions across Young’s Holdings, and Moet Hennessy USA. Running will drive a cohesive strategy designed to maximize efficiency and quality while overseeing production, demand planning, distribution, QA, sourcing / procurement, engineering, facility maintenance, and customer service to drive sales growth and increase general market awareness for the brands.

“American Harvest Vodka is poised to appeal to today’s market of thoughtful, value-driven individuals. I see this fully American-made, award-winning, USDA certified organic spirit that can compete strongly with other American vodka incumbents and attract consumers with its distinctly smooth and silky profile that finishes with a crisp, clean taste,” said Rebecca Running, CEO of 1776 Spirits. “Meanwhile, Beach Whiskey will attract a younger demographic that’s culturally diverse, female-forward, and passionate about an active outdoors lifestyle and provide them with a product that’s the perfect complement to daytime and nighttime drinking experiences.”

Adelman brings an extensive track record for identifying and investing in disruptive brands and implementing strategies and resources to accelerate their growth. In the beverage space alone, he has been involved with Empathy Wines, the direct-to-consumer wine brand recently acquired by Constellation Brands; Juice Press, a food and wellness company offering the world’s best cold pressed juice and organic food products in 90+ locations; and provided financing for the Pennsylvania Distillers Guild to help them rapidly convert production to ready sanitizers for hospitals, law enforcement, and first responders during the pandemic. Adelman is also the Lead Investor and Lead Director of Wheels Up, the leading brand in democratizing private aviation, which just announced an agreement to become publicly traded via a merger with special purpose acquisition company at an enterprise value of $2.1 billion.

“There are extensive opportunities ahead to accelerate growth for these compelling brands and I’m thrilled to have Rebecca’s leadership and track record in place here to execute this vision and continue building a strong presence in the marketplace,” said David Adelman, founder of Darco Capital. “I’m eager for her and her team to connect with our distributor partners and showcase our commitment to support their efforts as they continue to provide our products to an even broader set of consumers.”