Innovation Beverage Group (IBG) Registration Filing summary

Company overview and business model

• Developer, manufacturer, marketer, exporter, and retailer of 60 beverage formulations across 13 alcoholic and non-alcoholic brands, focusing on premium and super-premium segments.

• Operates through direct-to-consumer eCommerce platforms and partnerships with major distributors, including Coca-Cola Europacific Partners (CCEP) for bitters in Australia.

• Owns subsidiaries in the U.S. (IBG USA LLC and Reg Liquors LLC d/b/a Wired For Wine) to expand U.S. market presence and eCommerce capabilities.

• Vertically integrated with in-house manufacturing, fulfillment, and logistics, enabling high-margin DTC sales and rapid product innovation.

• Key brands include Australian Bitters Company (ABC), BitterTales, Twisted Shaker, and Drummerboy (non-alcoholic spirits).

Financial performance and metrics

• Net revenues for the six months ended June 30, 2024, estimated at $1.6–$1.9 million, up 26% year-over-year.

• Gross margin for brand products remained high at 75–80%, with overall gross margin at 65% in 2023, up from 53% in 2022.

• Operating expenses for H1 2024 increased by 10% due to non-cash and non-recurring items; net loss for 2023 was $2.0 million, improved from $4.1 million in 2022.

• Cash and cash equivalents as of December 31, 2023, were $14,140; total assets $4.9 million; total liabilities $4.3 million.

• Major customer concentration: in 2023, 82.5% of net sales were to one customer (CCEP).

Use of proceeds and capital allocation

• Net proceeds of approximately $4.96 million expected, primarily to pay $600,000 owed for the Wired For Wine acquisition, with the remainder for working capital and general corporate purposes.

• May use a portion of proceeds for future acquisitions or investments in complementary products or assets.

• Proceeds expected to fund operations for at least the next 24 months.