Core Insights - Celsius Holdings has experienced a remarkable stock increase of 129% in 2025, driven by a significant acquisition and a return to growth [2] - The company is set to announce its third-quarter results, which are critical for its performance outlook in 2026 [2] Acquisition Details - Celsius completed a transformative acquisition of Alani Nu for $1.8 billion, effectively $1.65 billion after tax benefits [3] - The acquisition was valued at 3 times Alani Nu's trailing sales and 12 times its adjusted EBITDA, indicating a favorable deal for Celsius [4] - The deal closed quickly with no regulatory hurdles, highlighting the urgency and necessity of the acquisition for Celsius [5] Financial Performance - Celsius faced a sharp deceleration in revenue growth in 2024, with negative growth in the latter half of the year, necessitating the acquisition [6] - Anticipation of the acquisition led to a rebound in Celsius's stock price after a significant decline in 2024 [7] - Analysts expect Celsius to report more than double the sales and a return to profitability in the upcoming third-quarter results, following a challenging previous year [8]

Core Insights - Recess, a relaxation drinks company, has raised $30 million in a Series B funding round and appointed Kyle Thomas as co-CEO alongside founder Benjamin Witte [1][3] - The funding will be used to expand the team and enhance distribution efforts [1] - Recess aims to provide functional beverages that promote mental wellness and balance, targeting a growing market for relaxation-focused products [4] Company Overview - Founded in 2018, Recess specializes in functional beverages and supplements designed to help consumers feel calm and balanced [1] - The product portfolio includes three ranges: Mood, Zero Proof Craft Mocktails, and original sparkling waters infused with hemp and adaptogens [2] Market Context - The U.S. energy drink market exceeds $25 billion, primarily focused on stimulation, indicating a potential market gap for relaxation-oriented beverages [4] - Cavu Consumer Partners, which led the funding round, has a history of investing in the beverage sector, including the acquisition of Poppi by Pepsi for $1.95 billion [3] Leadership and Strategy - Kyle Thomas, with over 25 years of experience in the beverage industry, will focus on building organizational capabilities and commercial systems to scale Recess [5] - The leadership believes that relaxation is the next frontier in the beverage market, resonating with today's overstimulated consumers [4]