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BevCanna Enterprises Inc. (CSE: BEV) (OTCQB: BVNNF) (FSE: 7BC) to Launch TRACE Alkaline and Mineralized Water in U.S. Via New Distribution Partner

  • Alkaline water is emerging segment in $217.7 billion global bottled water market
  • BevCanna has partnered with leading U.S. inventory and fulfillment technology platform provider for the launch of TRACE alkaline and mineralized waters in the U.S.
  • TRACE is already sold online and at over 3,000 retail locations in Canada, distribution points that will be further increased following separate agreement with top eastern Canada distributor

While the COVID-19 pandemic was keeping people on lockdown, the logistics industry was thriving, as consumers became increasingly familiar with shopping from home. At the same time, the premium bottled water industry continues to gain traction as people seek healthier alternatives to sugar drinks. Those two trends bode well for BevCanna Enterprises (CSE: BEV) (OTCQB: BVNNF) (FSE: 7BC) and its Naturo Group division, which just forged a new partnership to accelerate the launch of its TRACE natural spring alkaline water and plant-based mineralized water into U.S. markets.

Alkaline water is an emerging category that has caught consumer attention in the last decade, growing from a $325 million market in 2013 to $631 million in 2017 (https://cnw.fm/M1ElJ) on a path to contribute billions annually to the broader global bottled water market that Grand View Research believes hit $217.7 billion in 2020 (https://cnw.fm/a4Y70).

Regular drinking water has a neutral pH of 7.0. Alkaline water is defined as having a pH of over 7 and under 10. The higher pH is touted to provide a bevy of benefits to the body by neutralizing acidity, which boosts immunity, slows signs of aging, increases energy and even helps ward off serious diseases, like cancer. While acknowledged widely, opponents say the evidence is not clear and requires clinical studies to substantiate. As such, alkaline water manufacturers are careful to not make any claims about health benefits; that is left up to the consumer to decide. Pundits can argue wellbeing benefits, but what is not up for debate is the very real category growth of alkaline water.

According to market research firm Zenith Global, 96% of the alkaline water market was generated in just two markets: North America and Japan. Two brands, Core and Essentia, were clear drivers in 44 percent annual growth in North America from 2013-2018. In 2018, Keurig Dr. Pepper shelled out $525 million for Core (https://cnw.fm/ZI5ZA), which was followed by Nestle paying an estimated $1 billion for Essentia (https://cnw.fm/on2E0) to strengthen its functional water portfolio.

The burgeoning market is highly fragmented outside of Core and Essentia, putting BevCanna in a strong position to build its TRACE brand. TRACE already enjoys a leadership position within the alkaline and plant-based fulvic and humic mineral category being sold in more than 3,000 Canadian retailers. BevCanna has world-class infrastructure undergirding all its brands, including a 40,000-square-foot, HACCP certified manufacturing facility near Osoyoos, British Columbia with a current bottling capacity of up to 210 million bottles per annum and access to a pristine alkaline spring water aquifer located onsite.

TRACE North American distribution and logistics infrastructure should get supercharged thanks to a new partnership with “a leading U.S. inventory and fulfillment technology platform provider.” As often happens, BevCanna is not permitted (at least not yet) to use the new partner’s name for competitive reasons. The company did, though, provide some hints about the unified technology platform and logistics provider, such as it:

  • being “recently recognized by Fast Company magazine as one of the World’s Most Innovative Companies;” 
  • working with “thousands of customers in every vertical, including many Fortune 500 brands;” and 
  • having “one of the ten largest warehouses networks in the U.S.”

“We’re pleased to be able to leverage this unique logistics systems in the U.S. launch of our TRACE line of products,” said BevCanna President Melise Panetta in the news release on the partnership (https://cnw.fm/FVHMb). “Employing this sophisticated cloud-based platform will allow us to accelerate our launch across the country and ensure seamless delivery of our TRACE products to retailers nation-wide,” she added.

BevCanna is aggressively pursuing distribution partners for its TRACE line in domestic and international markets. On Wednesday, June 2, 2021, the company said it also forged an agreement with leading Eastern Canadian wholesaler distributor Koyo Foods Inc. The contract will see Koyo Foods distribute the TRACE line of products to retailers in Ontario and Quebec, with Koyo confirming that it already has received orders from “a number of retailers.” 

For more information, visit the company’s website at www.BevCanna.com.

NOTE TO INVESTORS: The latest news and updates relating to BVNNF are available in the company’s newsroom at http://cnw.fm/BVNNF

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